taxnews.ey.comPrint

20 January 2025

2024 Year in Review | Tax Alerts: U.S. State & Local Tax

Federal Tax | State & Local Tax | International Tax
Human Capital & Workforce, Individual and Indirect Tax

This year in review lists all EY Tax Alerts concerning significant U.S. state and local tax developments during 2024.

 
Key U.S. state and local tax developments, 2024
 
01.09.20252025 state unemployment insurance taxable wage bases (2025-0171)
01.07.20252025 state supplemental, flat tax and highest income tax withholding rates with hyperlinks to the latest withholding tables/instructions (2025-0150)
* * * * * * * * * *
12.20.2024Massachusetts Department of Revenue seeks public input on draft amendments to computer software regulation (2024-2359)
12.20.20242025 state disability, paid family and medical leave and long-term care insurance wage base and rates (2024-2362)
12.19.2024Maryland law expands reporting requirements for pay stubs and related employee notices (2024-2348)
12.18.2024Massachusetts enacts fix to single sales factor apportionment law (2024-2331)
12.18.2024Hawaii law lowers personal income tax liabilities for taxpayers by adjusting the standard deduction and tax bracket income limits (2024-2325)
12.18.2024Louisiana law implements a flat personal income tax rate starting in 2025 (2024-2322)
12.11.2024Louisiana's tax reform legislation affects businesses and individuals (2024-2266)
* * * * * * * * * *
11.26.2024Missouri to lower top personal income tax rate effective January 1, 2025 (2024-2158)
11.25.2024Federal court vacates US Department of Labor's increase in the standard salary level for certain employees exempt from overtime pay (2024-2153)
11.25.2024West Virginia law lowers personal income tax rates effective January 1, 2025 (2024-2154)
11.19.2024A FUTA credit reduction to apply in three jurisdictions in 2024 (2024-2121)
11.12.2024IRS releases 2025 inflation adjustments for fringe benefits and Form W-2/1099 information reporting penalties (2024-2076)
11.12.2024IRS releases qualified retirement plan limitations for 2025: 401(k) pretax limit increases to $23,500 (2024-2075)
11.11.20242024 state and local tax ballot measures | An update on what passed and what failed (2024-2072)
* * * * * * * * * *
10.31.2024Connecticut law expands availability of paid sick leave to almost all private-sector employees (2024-1997)
10.23.2024State voters will weigh in on minimum wage increases and paid sick leave on Election Day (2024-1951)
10.22.2024The fate of several state and local tax ballot measures to be decided on November 5 (2024-1941)
10.16.2024Postponed May 1, 2025, due date for filing tax returns and making tax payments now applies to all parts of Florida as a result of Hurricane Milton (2024-1899)
10.15.2024Disaster unemployment assistance is available to employees out of work due to Hurricanes Helene and Milton (2024-1896)
10.11.2024Social Security wage base to increase in 2025 (2024-1870)
10.10.2024Texas Comptroller proposes significant changes to sales and use tax regulations for data processing services (2024-1861)
10.10.2024Indiana Department of Revenue announces county income tax rate changes effective October 1, 2024 (2024-1856)
10.08.2024Utah law lowers personal income tax rate retroactive to January 1, 2024 (2024-1845)
10.04.2024IRS extends due dates for filing tax returns and making tax payments to May 1, 2025, for victims of Hurricane Helene in all or parts of seven states (2024-1823)
10.03.2024Massachusetts 60-day tax amnesty program to start November 1, 2024 (2024-1819)
10.03.2024Massachusetts 60-day tax amnesty program to start November 1, 2024 (2024-1818)
10.02.2024New York rules the convenience of the employer rule applies to nonresident working from home during the COVID-19 emergency (2024-1808)
* * * * * * * * * *
09.30.2024Majority of states require that employees get time off to vote (2024-1793)
09.27.2024California FTB issues notice of intent to adopt proposed amendments to market-based sourcing rules and asks for public comments by October 31 (2024-1784)
09.26.2024Nebraska Supreme Court denies dividend-received deduction for IRC Section 965(a) inclusion income (2024-1778)
09.26.2024Indiana rules that remote Kentucky worker is not subject to local income tax (2024-1770)
09.25.2024New Hampshire increases wage amount that can be directly paid to deceased employees' survivors (2024-1768)
09.25.2024Louisiana law expands requirements for employer payment of final wages (2024-1767)
09.20.2024New York City revises guidance on potential deviations from state corporate franchise tax regulations, which would impact future BCT regulations (2024-1732)
09.18.2024Nebraska law lowers SUI tax rates over next five years (2024-1720)
09.10.2024California BOE updates guidance on property tax exclusion for new construction of active solar energy systems (2024-1667)
* * * * * * * * * *
08.27.2024Our US employment tax rates and limits report for 2024 is updated through August 25, 2024 (2024-1608)
08.21.2024Kansas law changes future employer SUI tax costs, gives more time for voluntary contributions and makes other changes (2024-1587)
08.20.2024IRS extends due dates for filing tax returns and making tax payments to February 3, 2025, for victims of Hurricane Debby and other severe weather impacting the mid-west (2024-1580)
08.20.2024Vermont law requires salary information on job advertisements starting July 1, 2025 (2024-1579)
08.14.2024Minnesota Supreme Court affirms taxpayer's activities were not ancillary to solicitation of orders and unprotected by PL 86-272 (2024-1549)
08.14.2024Maryland takes steps to lower state unemployment insurance rates for some employers (2024-1548)
08.13.2024Idaho law reduces state unemployment insurance tax rate increases for 2024 and beyond (2024-1541)
08.09.2024Pennsylvania increases NOL deduction cap, limits data center sales tax exemption, enhances and creates new business tax credits and incentives (2024-1520)
08.06.2024IRS releases proposed regulations and other guidance on recapturing interest paid on erroneous employee retention credit claims, continues to process valid claims (2024-1507)
08.06.2024IRS extends due dates for filing tax returns and making tax payments to February 3, 2025, for victims of Hurricane Beryl (2024-1504)
08.02.2024Massachusetts establishes a tax amnesty program, updates IRC conformity date for personal income tax (2024-1488)
08.02.2024Massachusetts establishes a tax amnesty program, updates IRC conformity date for personal income tax (2024-1487)
08.02.2024Rhode Island allows banks to elect to use single receipts factor apportionment, requires study of combined reporting for banks (2024-1484)
* * * * * * * * * *
07.31.2024Nebraska legislature considering worldwide combined reporting as part of larger tax reform initiative (2024-1472)
07.30.2024Arkansas releases revised income tax withholding formula for immediate use (2024-1466)
07.29.2024Minnesota tax court's approval of state's use of alternative apportionment method may be of interest to companies including gross receipts from forward-exchange contracts in apportionment formula (2024-1452)
07.29.2024Kansas law lowers the personal income tax rates effective retroactive to January 1, 2024 (2024-1459)
07.25.2024Virginia Governor vetoes legislation establishing a state paid family and medical leave insurance program (2024-1438)
07.23.2024Taxpayers appeal Ohio Department of Taxation decision that capital gains are apportionable business income (2024-1424)
07.19.2024Minnesota Supreme Court affirms revenue department's authority to adjust federal gross income and impose frivolous return penalty (2024-1410)
07.18.2024New York Waterfront Commission announces payroll assessment rate (2024-1401)
07.17.2024South Carolina law lowers top marginal personal income tax rate retroactive to January 1, 2024 (2024-1390)
07.09.2024Duluth, Minnesota repeals Earned Sick and Safe Time ordinance (2024-1327)
07.03.2024California suspends NOLs and limits credits, overturns apportionment representation of deductible income; companion bill provides for refundability of limited credits (2024-1299)
07.03.2024New Jersey enacts corporate transit fee, phases out/repeals select sales/use tax exemptions; other sales/use tax and business credit bills are with the governor (2024-1298)
* * * * * * * * * *
06.27.2024Our 2024 US employment tax rates and limits report is updated through June 25, 2024 (2024-1264)
06.26.2024Arkansas law lowers personal income tax rate retroactive to January 1, 2024 (2024-1256)
06.24.2024Potential Oregon ballot measure would impose an additional 3% minimum tax on corporations with gross sales over $25 million (2024-1250)
06.21.2024US Department of Labor raises standard salary level for certain employees exempt from overtime pay starting July 1, 2024 (2024-1240)
06.19.2024New York law requires that employees receive paid prenatal leave and repeals COVID-19 paid sick leave law (2024-1224)
06.18.2024Georgia issues revised income tax withholding instructions to align with retroactive state tax law change (2024-1213)
06.13.2024Illinois governor approves income, franchise, sales/use tax changes, while other tax and incentives bills await his consideration (2024-1178)
06.12.2024Idaho releases revised 2024 income tax withholding formula and tables reflecting retroactive change in tax law (2024-1175)
06.11.2024Utah Tax Commission rules out-of-state remote worker's wages are subject to Utah state income tax (2024-1171)
06.10.2024IRS releases Health Savings Account limits for 2025 (2024-1169)
06.03.2024Colorado reduces 2024 income tax rate and provides mechanism for temporary reductions for 2025-35 (2024-1127)
* * * * * * * * * *
05.30.2024Iowa Department of Revenue revises income tax withholding instructions (2024-1101)
05.30.2024California BOE update focuses on construction commencement date for extended solar energy exclusion (2024-1099)
05.29.2024Wisconsin Circuit Court disallows deduction for intercompany royalty and interest expense (2024-1094)
05.29.2024Arizona law extends voluntary withholding option to more pension plan participants (2024-1089)
05.28.2024Virginia R&D credit changes expand opportunities for smaller taxpayers (2024-1083)
05.20.2024Nebraska law allows deduction for depreciable assets and research and experimental expenditures, creates employee and employer relocation tax incentive program (2024-1021)
05.16.2024Colorado replaces unique "three of six" combined reporting test with MTC standard starting in 2026 (2024-0986)
05.15.2024State law developments could impact tax-exempt organizations (2024-0981)
05.13.2024Nebraska law modifies nonresident income tax rules and provides relocation tax incentives for employers and employees (2024-0967)
05.10.2024Tennessee governor signs law to modernize franchise tax calculation and provide for time-limited refund opportunity (2024-0957)
05.10.2024Georgia governor signs bill limiting the carryforward period for certain tax credits; vetoes bill that would have suspended sales tax exemptions for data centers (2024-0956)
05.09.2024Iowa legislative session concludes with move to flat individual income tax rate in 2025 (2024-0941)
05.09.2024Kansas enacts corporate and individual income tax and pass-through entity tax changes (2024-0943)
05.08.2024Tennessee passes legislation to modernize franchise tax calculation and provide for a time-limited refund opportunity (2024-0927)
05.08.2024Iowa law implements a flat personal income tax and increases the Targeted Jobs Withholding Credit effective January 1, 2025 (2024-0932)
05.03.2024New York City announces public input sessions to discuss 'notable differences' between planned business corporation tax regulations and final New York state corporate tax regulations (2024-0907)
05.03.2024Georgia enacts corporate and individual income tax rate reductions, IRC conformity update; other tax bills pending before the governor (2024-0908)
* * * * * * * * * *
04.30.2024Vermont's voluntary family and medical leave insurance program will provide benefits effective July 1, 2024 (2024-0882)
04.22.2024Georgia legislation lowers personal income tax rate and raises dependent exemption retroactive to January 1, 2024 (2024-0841)
04.18.2024Kentucky enacts revenue bill with IRC conformity update, delay of corporate deferred tax deduction (2024-0813)
04.18.2024Minnesota enacts retroactive change to corporate net operating loss deduction - amended returns may be required (2024-0816)
04.17.2024Multnomah County, Oregon amends law governing the Preschool for All personal income tax (2024-0803)
04.16.2024Pennsylvania law exempting dependent care assistance from income tax applies to most local payroll taxes (2024-0795)
04.04.2024Wisconsin Department of Revenue adopts rules on commercial loan income exemption for financial institutions (2024-0728)
04.03.2024New Mexico governor signs omnibus tax bill (2024-0722)
* * * * * * * * * *
03.15.2024FY2025 Budget proposals could have state income tax implications (2024-0615)
03.13.2024Pennsylvania law excludes dependent care assistance benefits from state income tax and withholding (2024-0586)
03.11.2024South Carolina law creates parameters for Department's use of combined reporting as an alternative apportionment method (2024-0577)
03.06.2024Governors' budget proposals include tax relief measures and other tax changes (2024-0534)
03.04.2024New York Division of Tax Appeals finds out-of-state winery entitled to reduced tax rates as a qualified New York manufacturer (2024-0516)
* * * * * * * * * *
02.21.2024Ohio Supreme Court upholds temporary city taxation of remote workers during COVID-19 pandemic (2024-0435)
02.21.2024Puerto Rico's Treasury Department announces qualified retirement plan limits for 2024 (2024-0441)
02.13.2024Hawaii law now requires salary information in job advertisements (2024-0395)
02.07.2024Tennessee legislative proposal to modernize the franchise tax calculation would create a refund opportunity (2024-0351)
* * * * * * * * * *
01.29.2024Upcoming business tax filing deadlines in San Francisco and Los Angeles (2024-0287)
01.22.2024South Carolina administrative court upholds forced combination as an equitable and reasonable alternative apportionment method for achieving fair representation of taxpayer's in-state activity (2024-0244)
01.16.2024Montana water's-edge election due April 1, 2024, for calendar-year taxpayers (2024-0213)
01.11.2024UPDATED | 2024 state supplemental, flat tax and highest income tax withholding rates (2024-0112)
01.08.2024Finalized New York State corporate franchise tax regulations will affect many industries (2024-0140)
01.08.2024Texas franchise tax exemption increases to $2.47 million in 2024 while no-tax-due reports are eliminated (2024-0146)
01.05.2024Changes to Ohio's Commercial Activity Tax in 2023 will affect CAT taxpayers beginning in 2024 (2024-0128)

Document ID: 2025-0006

 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 1996 – 2025, Ernst & Young LLP

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

EY US Tax News Update Master Agreement | EY Privacy Statement