2021

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.

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?

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.

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 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.

On May 28, 2021, the Biden administration released its fiscal year 2022 budget proposal, and on the same day the Treasury Department released its highly anticipated “General Explanations of the Administration’s Fiscal Year 2022 Revenue Proposals” (“Green Book”), which provides additional details around the administration’s tax proposals as well as new provisions.

Choosing the right team to advise you can help you continue to grow your business while working towards your personal goals. An experienced exit planning professional can assist you in developing the right plan for your business and creating a balanced lifestyle by integrating your personal and professional goals.

Life can change quickly. If something unexpectedly happens to you, your business could be adversely affected and your day to day operations could come to a complete halt. Business owners must prepare for unexpected events and have a contingency plan for worst-case scenarios.