‘Doing Business’ – California Court Rules on Creating a Nexus in California

California CPA

July 2017

“While the California Court of Appeal’s decision was based on the specific facts regarding the taxpayer’s ownership interest, participation in the LLC’s activities, and the terms of the LLC agreement, an out of state taxpayer with a passive ownership interest in an LLC that is doing business in California should consider whether it should be required to file a California tax return of pay taxes in California based on the court’s decision in Swart,” wrote William H. Gorrod on Swart Enterprises, Inc. v. Franchise Tax Board.

Read more of Mr. Gorrod’s article, “‘Doing Business’ – California Court Rules on Creating a Nexus in California,” published in the California CPA.



Unsolicited e-mails and information sent to Morrison & Foerster will not be considered confidential, may be disclosed to others pursuant to our Privacy Policy, may not receive a response, and do not create an attorney-client relationship with Morrison & Foerster. If you are not already a client of Morrison & Foerster, do not include any confidential information in this message. Also, please note that our attorneys do not seek to practice law in any jurisdiction in which they are not properly authorized to do so.