Key Points for Tax and Legal Risk Management in U.S. Business Expansion - Optimizing Multi-State Operations and Intercompany Transactions for Japanese Subsidiaries
With the expansion of U.S. operations and recent diversification of work styles, responding to audits by various state regulatory tax authorities and the IRS has become increasingly important year by year. This seminar covers two critical themes for Japanese companies in the U.S.: "Nexus (Corporate Income Tax/Sales Tax) & Foreign Qualification" arising from multi-state transactions, and "Transfer Pricing & Contracts" between Japanese parent companies and U.S. subsidiaries.
We will clarify rules such as sales tax taxation and foreign qualification requirements—which apply even if your company lacks a physical presence in a state—as well as labor and tax obligations when employing remote workers in other states.
Furthermore, we will outline the processes for establishing contracts and justifying arm's-length pricing, which form the foundation of intercompany transactions.
Masuda Funai and CDH, P.C. will jointly explain concrete approaches to achieving sound local management by aligning "legal rule compliance (legal affairs)" with "proper tax reporting (taxation)."
Masuda Funai is a full-service law firm with offices in Chicago, Detroit, Los Angeles, and Schaumburg.