The payroll taxes can likely be taken care of easily by your payroll provider/accountancy firm, but there's potentially local business licensing requirements[1]

The payroll taxes can likely be taken care of easily by your payroll provider/accountancy firm, but there's potentially local business licensing requirements[1] you become subject to as well. If you have an office, you generally do all of that based on the location of the office, and the employee's home address doesn't come into play. But if the employee is officially a work from home employee, some states/municipalities treat that as a presence subject to business licensing or permitting requirements with the local authorities, as well as potentially triggering sales tax collection requirements that have to be accounted for within your sales/invoicing processes. [1] https://smallbiztrends.com/2018/04/remote-employee-compliance.html https://smallbiztrends.com/2018/04/remote-employee-complianc...