State and Local Tax

Thousands of jurisdictions, one place for answers

McGladrey’s dedicated state and local tax (SALT) professionals collaborate across specialties and regions to provide you with a local touch, backed by the support of a national firm. Our approach starts with understanding your business – your operations, challenges and plans for the future – then developing a holistic SALT planning and compliance program to help you meet your goals and control your expenses. Our specialty practices are:

• Sales and Use Tax
• Income and Franchise Tax
• Multistate Credits and Incentives
• Property Tax
• Payroll and Employment Tax
• Unclaimed Property

In addition to services provided by these practice groups, we also offer general SALT services, such as state tax analysis and resolution (nexus) and SALT controversy.

Most Popular Insights

Alternative Apportionment: Fairness Is Not
the Only Factor
A closer look at the evolution of state apportionment practices and how constitutional limitations impact the taxpayer.

New York Court of Appeals upholds click-through nexus law
The New York Court of Appeals upheld the state’s click-through nexus law because it was facially constitutional and did not violate either the Commerce Clause or the Due Process clause of the U.S. Constitution.

Sales Factor Presence After J. McIntyre Machinery
Nexus uncertainty may return as U.S. Supreme Court rejects stream of commerce theory previously adopted by many members of the Multistate Tax Commission.

Tennessee DOR rules due process clause bars nexus for intangible holding company
The Tennessee Department of Revenue (DOR) ruled that an intangible holding company did not have nexus under the due process clause where its only contact with the state was through the licensing of patents to an affiliate that utilized the patents in manufacturing goods outside of Tennessee and subsequently sold those goods to customers in Tennessee.

Statistics in mass appraisal: Different approaches can affect property tax dollars
Terms like absolute deviation and coefficient of dispersion are not at the forefront of most business owners’ strategic planning discussions. However, they are increasingly important to understand in relation to property tax planning.

Nine reasons your property tax assessment may not be correct
Property taxes are unavoidable, but they are not uncontrollable. Discover nine often-missed opportunities to control your real and personal property tax liabilities.

Court ruling expands eligibility for the Qualified High Technology Tax Credit in the District of Columbia
Ruling allows high technology companies to receive tax incentives even without facilities in D.C. Determine if your company meets the qualifications to reduce its tax rate.

State tax planning in the current environment:
Evolving strategies
Actively managing your company’s state tax footprint is more important, and more complicated, than ever before. Look at the history of state tax planning strategies to help identify best practices for today.

The Gillette decision and the Multistate Tax Compact's three-factor formula
California court will revisit case to decide validity of the Multistate Tax Compact to allow taxpayers a choice of apportionment factors.

California legislative update and the impact of the Multistate Tax Compact three-factor election
California repeals adoption of the Multistate Tax Compact, thereby limiting apportionment choice for taxpayers.

Misclassification of employees can be costly to many companies
Employers who misclassify independent contractors risk penalties from both the IRS and certain states. Some industries face a higher audit risk than others.

The emergence of factor presence nexus standards
As factor presence nexus standards become codified in an increasing number of states, increased challenges to the constitutionality may be seen as well.

Multistate Taxation: The Foundation for Economic Nexus in Washington State
With more and more states searching for additional sources of tax revenue, the limits are being pushed for how far-reaching the states can extend their ability to tax. At the same time, the United States Supreme Court has declined to hear any cases addressing the physical presence requirement for states to assert taxes other than sales or use.