Legal Definitions - tax situs

Definition: Tax situs refers to a state or jurisdiction that has a significant connection with assets that are subject to taxation.

Examples:

• If you own a house in California, but you live in New York, California is the tax situs for that property. This means that California has the right to tax the property, even though you don't live there.
• If you own a business that operates in multiple states, each state where the business operates is a tax situs. This means that the business may be subject to taxes in each of those states.

These examples illustrate how tax situs works. Even if you don't live in a state or jurisdiction, if you own property or operate a business there, that state or jurisdiction has the right to tax those assets. This is important to understand if you own property or operate a business in multiple states, as you may be subject to taxes in each of those states.