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New Mexico Out of State Income Tax

Date: 01/03/2006 | Category: Business | Author: developers

On Thursday December 31, the New Mexico courts decided in favor of the state over KMart Corp when it comes to levying income taxes on businesses that have no physical presence in the state. The Free NewMexican reported the story in their Thursday online edition. What this means for many businesses, especially ecommerce, is that states where those companies generate large income can be taxed on that income for that state even if they are no physically based out of it. The New Mexico ruling will definitely help other states on similar case issues. These changes to the income tax structure of New Mexico will affect any business that generates sales and incomes within the state, even if they are not based there. What are the long reaching effects of this ruling? How is it going to affect ecommerce businesses and more? Incorporation in one state may no longer provide protection against the income tax of another. This information brought to you by IncParadise you’re number one source for your incorporation needs. Click here to read more about New Mexico