Working from Home

New Jersey Tax Division Announces Temporary Corporate Nexus Waiver for Telecommuting during the COVID-19 Crisis

2020-04-02T17:40:43+00:00

As a result of COVID-19 causing people to work from home, the Division will temporarily waive the impact of the legal threshold within N.J.S.A. 54:10A-2 and N.J.A.C. 18:7-1.9(a) which treats the presence of employees working from their homes in New Jersey as sufficient nexus for out-of-state corporations. If employees are working from home solely as a result of closures due to the coronavirus outbreak and/or the employer's social distancing policy, no threshold will be considered to have been met.

For additional information related to the New Jersey guidance on telecommuting during the COVID-19 crisis please click on the links below:
https://www.state.nj.us/treasury/taxation/
https://www.state.nj.us/treasury/taxation/covid19-payroll.shtml

HBK will continue to follow developments and provide guidance and clarity surrounding COVID-19 business issues. To discuss COVID-19’s effect on your business, contact your HBK advisor.

About the Author(s)
Kevin McGinn, CPA, MST is a Senior Manager in HBK’s Blue Bell, Pennsylvania office and is a member of HBK's Tax Advisory Group. He has extensive experience in tax planning for high-net worth individuals and businesses in many industries such as distribution, manufacturing, service, and non-profit.
Hill, Barth & King LLC has prepared this material for informational purposes only. Any tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or under any state or local tax law or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein. Please do not hesitate to contact us if you have any questions regarding the matter.

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