Beware the Risks of Unexpected Taxes, Creeping Fleet Costs and Material Stockpiling

Mind these precautions on taxes when doing business across state lines, the creeping costs of aging equipment and the potential risks of stockpiling building materials. Last month, we covered the proposed tax bill and I hope you acted on my suggestions to spend the time and money to gain a full understanding of your tax position for 2021 and expected position for 2022 based on your projected operating results. I hope you paid special attention to equipment transactions in terms of expected sales and purchases going into 2022 and 2023 and beyond. In short, how are you going to handle the sales of equipment with zero tax basis? I also mentioned one other program I want you to consider. It is also tax related, except it is refers to state and local taxes. There is little doubt that the most complex tax issues facing businesses today are state and local taxes post-Wayfair. The ruling in South Dakota vs. Wayfair* caused states to believe there was much more tax revenue to be had if they scaled up their process to identify companies doing  business in their state. Thus, READ FULL ARTICLE>>