#multi-state-tax
Multi-state tax compliance, nexus rules, and withholding requirements for businesses operating across state lines
Congress restored the federal 1099-K threshold to $20,000 and 200 transactions in July 2025, but nine states still require a form at $600 and four more sit between $1,000 and $2,500 — so a $650 Etsy sale produces a 1099-K in Massachusetts and nothing in Texas. Includes the state-by-state threshold tiers and how to reconcile a gross form total down to actual taxable profit.
More than 20 state and local jurisdictions raised their minimum wage on July 1, 2026 — Alaska to $14.00, Oregon and D.C. on their annual schedules, plus 17 city and county increases across California, Illinois, Maryland, Minnesota and Oregon — lifting pay for over 360,000 workers by roughly $221 million a year. A seven-step checklist for employers who owe the highest rate where work is performed, including how to split a straddling pay period by work date rather than pay date.
A throwback rule can push a home-state sales factor from 20% to 60% on the same revenue by adding untaxed 'nowhere' sales back to the numerator; throwout, which shrinks the denominator instead, takes it to 33%. About 20 states plus D.C. still throw back tangible sales, five repealed their rules since 2019, and P.L. 86-272 protects none of your SaaS receipts.
Massachusetts rejected four major OBBBA federal tax breaks — immediate R&D expensing, 100% bonus depreciation on qualified production property, the $2.5M Section 179 limit, and the EBITDA-based interest cap — and set a September 10, 2026 deadline to file amended 2025 state returns without interest charges.
Gusto's acquisition of compliance-automation platform Mosey signals that multi-state registration is becoming a payroll-provider feature. Small businesses under 50 employees spend about $14,700 per employee per year on regulatory compliance, and a first hire in a new state triggers foreign qualification, withholding and SUTA accounts, workers' comp, and new-hire reporting — each with its own agency, deadline, and penalties.
Effective January 1, 2026, Illinois eliminated the 200-transaction economic nexus threshold, leaving a single $100,000 trailing-12-month revenue test for remote sellers. Here's who gains or loses nexus, how the August–October 2026 amnesty program works, and how to structure your books to answer state-by-state sales questions on demand.
As of 2026, roughly 20 states plus Washington D.C. require salary-range disclosure in job postings, and the laws apply based on where a remote job could be performed — not where the employer is based. Employee-count thresholds range from 1 to 50+, and penalties run from $250 per violation in Illinois to $25,000 in Massachusetts. Here is what small businesses must disclose, how to handle "Remote — US" listings, and a six-step compliance checklist.
Nineteen states raised their minimum wage on January 1, 2026 — Washington now leads at $17.13 an hour — and roughly 68 cities and counties set higher local rates. This guide lists every 2026 state rate, the mid-year changes in Florida and Oregon, new PFML payroll taxes in Maryland, Minnesota, and Delaware, and a seven-step checklist for keeping multi-state payroll compliant.
Colorado's retail delivery fee rose to $0.31 per order on July 1, 2026, while Minnesota charges $0.50 on qualifying orders of $100 or more. Here are the exemption thresholds, marketplace carve-outs, the ten-plus states drafting similar fees, and how to record the fee so it doesn't tangle your books.
How carnival and fair concessionaires should keep books for a route business — recording 25–50% gross-revenue splits and guarantee floors per stop, registering for sales tax permits that differ by state (Ohio's statewide license vs. California's per-location permits vs. Illinois's changing-location filer status), reconciling cash daily against ticket counts, and tracking day-labor payroll and 1099 thresholds across state lines.
The U.S. minted its last penny on November 12, 2025, and 19 states have enacted cash-rounding laws in 2026 with no federal standard yet in force. Most states let retailers round cash totals to the nearest nickel at their discretion, Arizona mandates Canadian-style rounding, and Indiana treats rounding gains and losses as income adjustments. Here is how the rules differ, why sales tax is always calculated on the pre-rounding price, and how to book rounding variances so they stay auditable.
Washington, D.C.'s general sales tax rate rises from 6% to 7% on October 1, 2026, and the District taxes digital goods and SaaS at the full rate with no B2B exemption. This guide covers the delayed Budget Support Act increase, D.C.'s $100,000/200-transaction economic nexus thresholds, and a five-step compliance checklist for invoices that straddle the rate change.
