Corporate Close-Up: Two New Resources for Pass-Through Entities and Unclaimed Property


Bloomberg BNA recently released two exciting new research tools: the Pass-Through Entity Navigator and the Unclaimed Property Navigator.

Pass-through entities, such as partnerships, LLCs, and S corporations, are the most commonly used form of business, but it is often difficult to find answers about how states tax them. Owners of pass-through entities generally pay tax on income that flows through to them, but many states now impose taxes on the entities themselves. In addition, most jurisdictions apply corporate income tax concepts such as business or nonbusiness income classification to pass-through entities that do business in more than one state.  

These complexities can make tax research difficult. Tax research services tend to spread key information about pass-through entities throughout several different tools. The tax treatment of partners might be covered in content about individual income tax, while information relating to apportionment will most likely be found in content about corporate income tax. Practitioners have voiced the need for a research service where answers regarding pass-through entities can be found in one place. 

Bloomberg BNA’s Pass-Through Entity Navigator is a new research tool, featuring over 1,700 chartable topics. Whether you’re seeking guidance on formation, conformity to federal tax classifications, taxes imposed, withholding, or composite returns, you can quickly create short or full answer charts to compare topics by state and find the information you need.

“State taxation of pass-through entities is incredibly complex because of the variety of approaches the states have taken to applying their individual and business taxes to them,” Steven N.J. Wlodychak, a principal with Ernst & Young LLP’s Indirect (State and Local) Tax Practice, told Bloomberg BNA. “The challenge has always been to compile into one tax research tool all of that complex information across the many states into a concise, easy to use interface.”

“We tax practitioners are excited to see a user-friendly, searchable product that combines so many issues and new developments involving pass-through entities and their owners into one place,” says Bruce Ely, a partner in Bradley Arant Boult Cummings LLP’s  Birmingham, Ala., office. “I’ve never witnessed anything like this before, and can’t wait to start using it.”

The Unclaimed Property Navigator offers a comprehensive state-by-state look at different topics pertaining to unclaimed property, including new coverage of voluntary disclosure agreements, audits, and compliance requirements. Like the Pass-Through Entity Navigator, all unclaimed property topics are fully chartable so you can easily make comparisons by state and quickly navigate to each state’s unclaimed property laws.

Both of these new tools help you quickly find accurate information and understand key issues across every state with analysis and planning points from leading practitioners. Premier State Tax subscribers can find them under Expert Analysis and as Chart Builders on the State tab.

Get a free trial to Bloomberg BNA Tax & Accounting's State Tax solution, a comprehensive research service that provides deep analysis and time-saving practice tools to help practitioners make well-informed decisions.