Largely fueled by necessity during the COVID-19 pandemic, Federal and state governments throughout the U.S. have updated their tax withholding and information reporting processes. With funds given via the Coronavirus Aid, Relief, and Economic Security (CARES) Act, states can now create modernized state tax systems. This includes new or updated online systems and processes for paying withholding taxes and filing withholding returns, 1099 returns and more.
What do these updated systems mean for state reporting requirements and how will businesses with obligations be affected? Let’s review why the changes are happening, what other changes can be expected and what businesses can do to keep pace with it all.
Source: SOVOS
