How to Capture Deductions in Puerto Rico for Payments to a Related Party

In an unanticipated response to taxpayer requests, the Puerto Rico Treasury Department (“PRTD”) has removed administrative hurdles to deduct 100 percent of expenses paid to related parties. Section 1033.17(a)(17) of the Puerto Rican Internal Revenue Code of 2011 (“PRIRC”) previously provided that taxpayers could deduct only 49 percent of the expenses paid to affiliates when computing net income for a Puerto Rican taxpayer.

New Tax Considerations for the Technology Industry

Bennett Thrasher and Morris, Manning & Martin recently hosted their “New Tax Considerations for the Technology Industry” webinar. During the event, a variety of financial topics relevant to technology companies were discussed, including federal tax proposals, executive compensation tax proposals, international considerations and state and local tax considerations.

3 Causes of Delayed Construction Economic Recovery and How to Protect Your Business

Despite the huge national infrastructure bill proposed recently, the construction industry has been slower to respond to the expected turnaround. In addition to COVID-19, other factors are causing problems with the industry’s ability to recover. But how long will it last, and what can you do to protect your company in the meantime?

Key Changes of the NY Budget Bill for Individuals and Businesses

On April 19, 2021, Governor Cuomo signed into lawS2509C/A3009C, the New York FY 2021-2022 State Budget Bill (“Bill”), which includes provisions for tax rate changes for individuals and corporations, a new elective Pass-through Entity Tax, and clarity on credits with a remote workforce during the COVID-19 pandemic.

Sales Tax Economic Nexus Law Update – Where Are We Now?

It has been nearly three years since the landmark decision of South Dakota v. Wayfair, Inc. (“Wayfair”), which upheld states’ adoption of sales tax economic nexus laws. Notably, the Court partially hinged its ruling on South Dakota’s small seller safe harbor thresholds, which limited the state’s ability to assert sales tax nexus for remote sellers that had more than $100,000 in South Dakota-sourced receipts or 200 or more transactions with South Dakota-based customers.

Sales Tax Rules and Issues: What Construction Contractors Need to Know

Sales tax laws are constantly evolving and typically vary by state, making it difficult to stay on top of their complexities and ensure compliance. The construction industry in particular must have a strong grasp on these rules though, as it’s common for contractors to be managing projects and materials across state lines.

Page 1 of 6