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 2025. |
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| Key U.S. state and local tax developments, 2025 |
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| 12.17.2025 | Louisiana will implement combined state and parish sales and use tax return effective January 1, 2026, for December sales taxes (2025-2541) |
| 12.17.2025 | Oregon delays 2026 increase to Statewide Transit Tax (2025-2540) |
| 12.16.2025 | Alabama Department of Revenue publishes analysis of state tax conformity with OBBBA (2025-2525) |
| 12.12.2025 | EY resources are now available to assist you with your payroll year-end activities (2025-2493) |
| 12.03.2025 | District of Columbia enacts emergency bill to decouple from select OBBBA provisions (2025-2409) |
| 12.02.2025 | Pennsylvania budget bill decouples from select OBBBA provisions (2025-2403) |
| 12.02.2025 | San Francisco adopts final regulations on gross receipts tax sourcing (2025-2398) |
| 12.02.2025 | IRS releases guidance for employees on deducting qualified tips and qualified overtime compensation for 2025 without employer information (2025-2395) |
| 12.01.2025 | Ernst & Young's 2025 payroll year-end checklist is now available (2025-2393) |
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| 11.25.2025 | Iowa Department of Revenue announces changes to treatment of IRC Section 951A income after OBBBA (2025-2365) |
| 11.24.2025 | Ohio law imposes new employer SUI surcharge starting in 2026 (2025-2360) |
| 11.20.2025 | Puerto Rico exempts prescription medications from personal property tax at the municipal level (2025-2337) |
| 11.18.2025 | Nebraska Department of Revenue issues guidance on restrictions to state's tax incentive programs (2025-2317) |
| 11.13.2025 | IRS releases qualified retirement plan limitations for 2026; 401(k) pretax limit increases to $24,500 (2025-2287) |
| 11.12.2025 | A FUTA credit reduction to apply in two jurisdictions in 2025 (2025-2281) |
| 11.07.2025 | Massachusetts Department of Revenue regulation requires withholding on behalf of nonresidents on real estate sales valued at $1 million or more (2025-2253) |
| 11.05.2025 | New FAQs on employee retention credits seek to clarify disallowances under OBBBA (2025-2229) |
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| 10.28.2025 | Ohio BTA holds that chargebacks are a permissible reduction to CAT gross receipts (2025-2179) |
| 10.27.2025 | Social Security wage base to increase in 2026 (2025-2158) |
| 10.24.2025 | New York City DOF proposes business corporation tax regulations on nexus standards and definitions (2025-2152) |
| 10.22.2025 | New Mexico announces significant reporting changes to income tax withholding and the workers' compensation assessment fee (2025-2134) |
| 10.21.2025 | Chicago's Mayor proposes a $21 per employee corporate head tax to close budget gap (2025-2124) |
| 10.15.2025 | Colorado law lowers contribution rate for paid family and medical insurance starting in 2026 (2025-2090) |
| 10.14.2025 | Michigan updates IRC conformity, decouples from select OBBBA provisions (2025-2077) |
| 10.07.2025 | California updates general date conformity to Internal Revenue Code while continuing to decouple from significant federal provisions (2025-2032) |
| 10.06.2025 | California Governor signs bill to exclude refund payments for specified federal environmental credits from gross income for 2026—2030 (2025-2021) |
| 10.03.2025 | Colorado high court rules City of Lakewood's local tax on certain telecommunications services is invalid, creating potential for refunds (2025-2005) |
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| 09.30.2025 | IRS releases per diem rates under the high-low substantiation method effective October 1, 2025 (2025-1962) |
| 09.26.2025 | State law developments could impact tax-exempt organizations (2025-1946) |
| 09.24.2025 | Ohio Department of Taxation issues revised withholding tables effective October 1, 2025 (2025-1929) |
| 09.24.2025 | Illinois Department of Revenue issues guidance on tax amnesty program set to begin on October 1 (2025-1928) |
| 09.24.2025 | Illinois Department of Revenue issues guidance on tax amnesty program set to begin on October 1 (2025-1927) |
| 09.24.2025 | Illinois franchise tax amnesty program to begin October 1 (2025-1926) |
| 09.24.2025 | Illinois franchise tax amnesty program to begin October 1 (2025-1925) |
| 09.12.2025 | Puerto Rico Treasury Department issues guidance on the adoption of amendments by qualified retirement plans to comply with SECURE 2.0 Act (2025-1854) |
| 09.12.2025 | California finalizes amendments to market-based sourcing rules, applicable for tax years beginning on or after January 1, 2026 (2025-1848) |
| 09.10.2025 | Oregon law provides a one-time 2025 SUI tax credit for certain employers (2025-1830) |
| 09.09.2025 | Washington Department of Revenue addresses 'existing contracts' for services that will be taxable beginning October 1 (2025-1822) |
| 09.03.2025 | Colorado enacts tax changes impacting businesses and individuals during special legislative session (2025-1788) |
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| 08.25.2025 | Ohio legislation lowers top personal tax rate retroactive to January 1, 2025, implements flat tax in 2026 (2025-1744) |
| 08.21.2025 | Puerto Rico enacts legislation amending various sections of Puerto Rico's Internal Revenue Code, General Law of Corporations and Municipal Code (2025-1732) |
| 08.20.2025 | Wisconsin law provides middle-income tax cuts and retirement income tax relief retroactive to January 1, 2025 (2025-1727) |
| 08.19.2025 | Louisiana law expands nonresident income tax exemption for short-term business travelers (2025-1707) |
| 08.12.2025 | Maryland issues revised income tax withholding formula for immediate use (2025-1680) |
| 08.08.2025 | IRS announces that 2025 information statements/returns and withholding tables will not be updated for changes under the OBBBA (2025-1671) |
| 08.06.2025 | Missouri law repeals paid sick leave requirement and automatic annual increases to the minimum wage (2025-1657) |
| 08.04.2025 | Realty transfer tax and recordation fee updates in New Jersey, Pennsylvania, the City of Philadelphia and Rhode Island (2025-1650) |
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| 07.17.2025 | Georgia Appeals Court holds that calculation of local occupation tax must include nationwide offices (2025-1519) |
| 07.16.2025 | Wisconsin budget bill includes individual and business tax changes (2025-1504) |
| 07.15.2025 | Final federal reconciliation legislation has state income tax implications (2025-1487) |
| 07.14.2025 | Ohio budget legislation affects some tax provisions (2025-1441) |
| 07.14.2025 | Ohio Supreme Court upholds denial of CAT agency exclusion (2025-1439) |
| 07.08.2025 | South Carolina law lowers the state's top marginal tax rate, retroactive to January 1, 2025 (2025-1396) |
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| 06.27.2025 | Illinois establishes three separate tax amnesty programs (2025-1375) |
| 06.27.2025 | Illinois governor signs tax bill that impacts income and sales and use taxes, sports betting and tax incentives (2025-1374) |
| 06.27.2025 | Illinois establishes three separate tax amnesty programs (2025-1373) |
| 06.26.2025 | New Jersey adopts new and amended corporate business tax regulations (2025-1364) |
| 06.26.2025 | Tax reconciliation bill released by Senate Finance Committee could have state income tax implications (2025-1363) |
| 06.24.2025 | Minnesota enacts omnibus tax legislation that includes changes to R&D tax credit and data center incentives (2025-1349) |
| 06.24.2025 | Maryland delays start date for employer contributions to its paid family and medical leave insurance program to January 1, 2027 (2025-1335) |
| 06.24.2025 | Social Security Administration publishes wage base projections for 2026 through 2034 (2025-1334) |
| 06.23.2025 | US Supreme Court holds that Wisconsin's denial of tax exemption for Catholic charity violates First Amendment by imposing denominational preferences (2025-1329) |
| 06.23.2025 | Virginia updates income tax withholding formula and tables; legislation could prevent conformity with federal tax exemption for overtime pay and tips (2025-1326) |
| 06.19.2025 | Wisconsin court of appeals upholds disallowance of intercompany royalty and interest expenses (2025-1307) |
| 06.19.2025 | Texas enacts law to replace research and development franchise tax credit, repeal sales and use tax exemption (2025-1301) |
| 06.18.2025 | Georgia income tax withholding formula and tables updated to reflect retroactive tax cut for 2025 (2025-1288) |
| 06.17.2025 | California FTB modifies proposed amendments to market-based sourcing rules, moves applicable date to January 1, 2026 (2025-1286) |
| 06.16.2025 | Kansas law conditionally lowers personal income tax rates starting in 2025 (2025-1266) |
| 06.11.2025 | Alabama's state income tax exemption for qualified overtime pay expires effective July 1, 2025 (2025-1234) |
| 06.05.2025 | Special report now available on federal and state Form W-4 compliance for 2025 (2025-1195) |
| 06.03.2025 | Maryland Comptroller releases draft regulations implementing new 3% tax on data and information technology services (2025-1189) |
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| 05.29.2025 | House-passed tax bill could have state income tax implications (2025-1159) |
| 05.27.2025 | Montana law allows individuals to claim previously unusable state-specific net operating loss carryovers (2025-1136) |
| 05.22.2025 | Washington governor signs laws to expand sales tax base and increase business and occupation tax rates (2025-1125) |
| 05.22.2025 | Iowa legislature approves bills to revamp state R&D credits, reduce aid for companies with mass layoffs or closures, and expand the retirement income exemption (2025-1123) |
| 05.22.2025 | Indiana authorizes tax amnesty program for sometime in the second half of 2025 or in 2026 (2025-1122) |
| 05.22.2025 | Indiana authorizes tax amnesty program for sometime in the second half of 2025 or in 2026 (2025-1121) |
| 05.22.2025 | House-passed tax bill contains provisions affecting compensation and benefits, including eliminating taxes on tips and overtime (2025-1120) |
| 05.22.2025 | Puerto Rico's Treasury Secretary announces four-day sales-and-use-tax holiday for hurricane-season purchases will take place from May 23-May 26, 2025 (2025-1112) |
| 05.21.2025 | Alabama law provides relief from nonresident income tax for short-term business travelers and disaster/emergency personnel (2025-1106) |
| 05.20.2025 | Tax reconciliation bill approved by House Ways & Means Committee could have state income tax implications (2025-1101) |
| 05.20.2025 | New York governor signs budget legislation that includes various tax changes affecting businesses and individuals (2025-1100) |
| 05.16.2025 | Idaho Tax Commission updates income tax withholding formula to reflect 2025 tax cut (2025-1070) |
| 05.12.2025 | New York law authorizes full repayment of its outstanding federal unemployment insurance loan balance (2025-1048) |
| 05.12.2025 | Alaska legislature approves market-based sourcing for sales of services and intangible property, and single sales factor apportionment for "highly digitized businesses" (2025-1046) |
| 05.12.2025 | New York increases the Metropolitan Commuter Transportation Mobility Tax rate for large employers effective July 1, 2025 (2025-1044) |
| 05.09.2025 | New York court upholds state's P.L. 86-272 internet activities regulation but rules against its retroactive application (2025-1023) |
| 05.08.2025 | Arkansas enacts economic nexus and market-based sourcing provisions, among other corporate income tax changes (2025-1011) |
| 05.07.2025 | Kansas enacts single sales factor apportionment, market-based sourcing, and contingent corporate income tax rate reductions (2025-0994) |
| 05.06.2025 | Indiana law lowers personal income tax rate for 2026, with further incremental cuts starting in 2030 if revenue goals are met (2025-0991) |
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| 04.28.2025 | Utah Tax Commission releases revised withholding formula reflecting lower income tax rate for 2025 (2025-0958) |
| 04.23.2025 | Mississippi lowers personal income tax rates in future years with total phase out possible if revenue goals are met (2025-0936) |
| 04.22.2025 | Puerto Rico extends due dates for filing the March Monthly Sales and Use Tax Return and 2025 - 2026 Volume of Business Declaration to April 28, 2025 (2025-0931) |
| 04.22.2025 | Georgia law lowers personal income tax retroactive to January 1, 2025, allows for future tax cuts (2025-0930) |
| 04.17.2025 | Utah modifies financial institutions' sourcing formula for corporate franchise and income tax purposes (2025-0919) |
| 04.15.2025 | Texas Comptroller adopts amendments to sales and use tax regulations for data processing services (2025-0897) |
| 04.15.2025 | Nebraska adjusts state unemployment insurance tax rates for 2025, reissues 2025 SUI rate notices (2025-0894) |
| 04.09.2025 | Utah law lowers the state income tax rate retroactive to January 1, 2025 (2025-0852) |
| 04.09.2025 | IRS releases new FAQs on employee retention credits (2025-0847) |
| 04.08.2025 | New Ohio law requires employers to provide pay stubs to their employees (2025-0840) |
| 04.04.2025 | Comments on San Francisco's proposed gross receipts tax sourcing regulation due April 18 (2025-0823) |
| 04.04.2025 | Puerto Rico proposes legislation aimed at reducing personal property tax on inventory (2025-0821) |
| 04.01.2025 | New York Tax Appeals Tribunal rules on various broker-dealer specific issues reversing in part the NY DTA decision in Matter of Jefferies Group LLC & Subsidiaries (2025-0799) |
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| 03.28.2025 | Michigan delinquent employers still subject to higher 2025 state unemployment insurance wage base (2025-0779) |
| 03.27.2025 | Maryland House approves new 3% sales tax on data and information technology services (2025-0770) |
| 03.26.2025 | Indiana adopts market-based sourcing regulation (2025-0762) |
| 03.25.2025 | Ohio simplifies SUI reporting and tax payments for employees working concurrently for related employers (2025-0752) |
| 03.18.2025 | Kentucky updates Internal Revenue Code conformity and adopts reduction in individual income tax rate (2025-0708) |
| 03.18.2025 | Seattle voters approve new payroll expense tax for social housing (2025-0706) |
| 03.18.2025 | Idaho law lowers personal income tax rate retroactive to January 1, 2025 (2025-0705) |
| 03.11.2025 | Delaware unemployment insurance law updated to include fixed wage base and new methodology for determining SUI tax rates (2025-0647) |
| 03.10.2025 | Maryland proposes broad expansion of sales tax base to cover several business-to-business services (2025-0640) |
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| 02.26.2025 | Ohio revisits Internal Revenue Code conformity (2025-0562) |
| 02.26.2025 | New Jersey seeks feedback on proposed new and amended corporate business tax regulations (2025-0561) |
| 02.24.2025 | Kentucky lowers personal income tax rate effective January 1, 2026 (2025-0543) |
| 02.20.2025 | Puerto Rico's Treasury Department announces qualified retirement plan limits for 2025 (2025-0526) |
| 02.06.2025 | Ohio enacts changes to its marketplace facilitator provisions, sales tax exemptions for professional sports facilities, and CAT sourcing rules (2025-0419) |
| 02.06.2025 | New York FY2025-26 proposed executive budget includes business and individual tax changes (2025-0418) |
| 02.06.2025 | Kentucky Department of Revenue to pause operations during rollout of new online portal for business taxpayers (2025-0415) |
| 02.03.2025 | State unemployment insurance wage bases and tax rates for 2025 (preliminary as of January 25, 2025) (2025-0392) |
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| 01.31.2025 | Massachusetts Governor's proposed budget includes tax changes (2025-0382) |
| 01.31.2025 | Upcoming business tax filing deadlines in San Francisco and Los Angeles (2025-0372) |
| 01.31.2025 | IRS releases federal mileage rates and luxury vehicle limit for 2025 (2025-0365) |
| 01.28.2025 | California Governor and Los Angeles County provide property tax relief for property owners impacted by wildfires (2025-0344) |
| 01.27.2025 | Michigan law creates research and development tax credit (2025-0339) |
| 01.23.2025 | Ohio Supreme Court issues decision on the situs of healthcare services (2025-0310) |
| 01.22.2025 | IRS releases guidance on tax treatment of state-paid family and medical leave contributions and benefits (2025-0297) |
| 01.21.2025 | Montana water's-edge election due March 31, 2025, for calendar-year taxpayers (2025-0287) |
| 01.21.2025 | Taxpayers should consider filing protective refund claims for Maryland digital advertising tax as expiration of three-year statute of limitations approaches (2025-0286) |
| 01.17.2025 | Treasury finalizes regulations on review of federal tax controversies by IRS Appeals office (2025-0269) |
| 01.16.2025 | IRS and California provide tax disaster relief for victims of California wildfires (2025-0248) |
| 01.14.2025 | New York climate change superfund act signed into law (2025-0234) |
| 01.09.2025 | 2025 state unemployment insurance taxable wage bases (2025-0171) |
| 01.07.2025 | 2025 state supplemental, flat tax and highest income tax withholding rates with hyperlinks to the latest withholding tables/instructions (2025-0150) |
