SeeSALT Blog
Forty-four states plus the District of Columbia impose an income tax on corporations. In response to the COVID-19 pandemic, 36 of those 45 jurisdictions have established income tax relief to corporate taxpayers in the form of tax payment extensions. Of those 36, most also extended the return filing deadline and have waived all penalties and interest during the extension period. Four states are playing hardball, affirmatively announcing no income tax relief will be provided to corporate taxpayers: Arkansas, Minnesota, Montana and New Hampshire. Three states seem to be keeping their heads in the sand, having made no announcement at all regarding tax relief to corporate taxpayers: Alaska, Massachusetts, and Pennsylvania. And two states appear to be on the fence: Florida and New Jersey.
See our latest matrix for comprehensive coverage (updated April 14), on state income tax relief to corporations, other business entities, and individuals. Our coverage is organized in a manner that is quick to digest, and links to primary source authority are provided for ease of reference and to track future developments. Pillsbury SALT will continue to track these tax relief developments in the rapidly evolving landscape of the COVID-19 pandemic.
Nebraska’s tax department has issued guidance confirming its position that IRC 965 deemed repatriation income: 1) must be included in a taxpayer’s corporate income tax base (less the IRC 965(c) deduction); and 2) does not qualify for the state’s dividends received deduction. Nebraska Dep’t of Revenue, Gen. Info. Letter 24-19-1 (Sept. 13, 2019).