Opinion: Unincorporated Truckers Beware
By Kristie Roger
Associate
LarkinGibbs LLP
Many of those involved in trucking particularly the over-the-road interstate variety appear to believe an unincorporated trucking firm escapes multistate taxation.
They are wrong.
Trucking firms operating as proprietorships, partnerships, limited liability partnerships (LLPs) and limited liability companies (LLCs) are subject to taxation under requirements similar to those imposed on corporations.
However, a state cannot impose an income tax on any business entity, regardless of form, unless that company has a sufficient nexus i.e., a connection with the state.
A states nexus standard applies to all entities, without regard to legal form, and every state has its own nexus standard.
Full article at embedded link above.
Unincorporated Truckers Beware...
Discussion in 'Trucker Taxes and Truck Financing' started by Rusty50484, Sep 28, 2010.