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4 actions that could trigger a state and local tax audit

1. Rapid expansion of operations into a new state(s). Businesses will sometimes expand into a new state with rapid growth in plant, equipment or inventory all for good business reasons, but they don’t fully realize the tax implications of doing business in new state and local jurisdictions. Physical presence in any state will require registration and adherence to that state’s tax laws. 2. Employees or non-employee agents of your company entering into new states doing business. When sending…

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