US Cross-Border Tax Blog

Published by W.L. Dueck LLP

Posts filed under ‘Nexus’


US State and Local Tax Consideration for Canadian Businesses

Often Canadian businesses are surprised to learn about the reach of US state taxing jurisdictions to assert tax on out-of-state taxpayers.  Since none of the 50 states were signatories to the Canada-US Income Tax Convention (the “Treaty”), they are not limited by the Treaty to taxing business activities in the US.  It is not uncommon to find a Canadian business subject to a state’s taxing jurisdiction and completely exempt from US federal income taxation because of the Treaty. In contrast… Read More


Washington Business and Occupation Tax

Many Canadian businesses are unaware of the Washington Business and Occupation (“B&O”) Tax when they do business with customers in the State of Washington. The B&O tax is a gross receipts tax levied by various levels of government in Washington. It is calculated based on the gross proceeds of sales, gross revenue of the business, or the value of products generated from business activities occurred within the state. Generally there are no deductions for the cost of doing business, such… Read More