If this bill also passes the Senate and becomes law, the Mobile Workforce State Income Tax Simplification Act (H.R. 1393) would simplify a national patchwork of interlocking state obligations for employers who send employees over state lines to perform work. This legislation would make the income tax withholding requirements uniform throughout all states.
It remains to be seen if the Senate will pass this legislation. In past years, similar legislation has been introduced, but stalled in the Senate.
If you have questions about the future potential impact this may have on your company, please contact a member of the state and local tax team.