state tax ?

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mtnman
Posts: 37
Joined: Thu Nov 15, 2012 2:06 pm
Location: Lethbridge, Ab

state tax ?

Post by mtnman »

Does a Canadian corporation that sells product to all states need to file state or franchise tax returns ? The corporation distributes its product via a pick and pack warehouse located in the United States.

Thanks for your thoughts.
nelsona
Posts: 18688
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

With the explosion of internet sales etc ofver the past decade, most states have recently redefined corporate presence (known as nexus), some more aggressively that others.

I'll let you ands your corporation figure that out for the stse in question.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
ND
Posts: 334
Joined: Thu Feb 21, 2013 5:28 pm

Post by ND »

Some states will have locations (such as upper state NY for NYS) sales and use exceptions for fulfillment (aka pick and pack) services. It thus pays to properly word each contract so that exempt items are separated.
mtnman
Posts: 37
Joined: Thu Nov 15, 2012 2:06 pm
Location: Lethbridge, Ab

Post by mtnman »

This sounds crazy! So if I sell 50k to several states from a pick and pack warehouse located in Montana then I might have to file tax returns for each of those states?
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