Any Different Tax Liabilities in this situation?

Question

A company that is based in CA is opening a distribtion plant in GA and will use mostly agency labor. What if any would be the tax liability in GA and would using agency labor make a difference other than not being liable for employer taxes?

Answer 1

You need to check GA law, but I would think that you would have to register to do business in GA. You would be subject to GA corporate income tax and any other fees and taxes they assess. You would become a multi-state business.
Agency empolyees simply save you the payroll problems but may complicated your employee benefit problems because leased employees have to be included in many of the discrimination tests