By Marjorie B. GellOn March 23, 2020, Michigan Governor Gretchen Whitmer issued a statewide stay-at-home order to help slow the spread of COVID-19 (“the coronavirus” or “the pandemic”). Almost overnight, the way that Michigan companies conduct business-as-usual was turned on its head. Countless businesses have been forced to shut down as a result of the coronavirus. Other businesses, including traditional brick-and-mortar businesses, as well as service-based companies such as law firms, have continued to operate during the pandemic by requiring employees to “telecommute” from home. When an employee’s temporary work location is maintained outside of the employer’s tax jurisdiction, unexpected tax consequences can arise. Because it is expected that many employees will continue to work remotely well into 2021 and beyond, the change in employees’ worker locations have both short-term and long-term tax implications.
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