Revised PA bill adds new economic nexus tax guidelines
The Keystone State has officially updated its tax law with provisions on economic nexus that you’ll need to know if you do business in Pennsylvania.
Effective for tax years beginning after Dec. 31, 2022, any business with $500,000 or more in sales that can be sourced to Pennsylvania has created nexus for tax purposes.
The update, implemented by revisions to HB 1342, also provides a more comprehensive definition of what it takes to establish nexus in the state. Any entity that conducts “business activity” in the state will be subject to tax guidelines.
Per the bill, “business activity” will include:
- the leasing or licensing of intangible property used in the state
- engaging in transactions involving intangible property with customers located in Pennsylvania (including loan transactions), and
- sales of intangible property used by a corporation within the state.
- Share on
Free Training & Resources
Webinars
Provided by SkyStem
Further Reading
After the flood of new e-commerce sales tax rules in the five years since the South Dakota v. Wayfair Supreme Court decision, this may be t...
The outcome of the presidential race and which party will control the House and Senate is too close to call. But a handful of economic idea...
No matter where entrepreneurs decide to start a business, they face a variety of taxes and regulations that cut into the bottom line from t...
States are always looking for ways to attract new businesses and prevent existing ones from pulling up stakes. Lowering corporate taxes is ...
Another April 15 came and went, leaving many of us poorer and grumbling about government spending. For business owners and the CFOs and con...
President Biden is calling for wealthy Americans and corporations to pay more in taxes. The president outlined a number of changes he belie...
