Uncovering the Complexities of Out-of-State Sales Tax Registration

Learn techniques to better recognize and understand the best approach to manage any tax exposure.

Recognize and understand nexus standards for sales taxes and the most efficient approach to manage tax exposure. In June 2018, the Wayfair decision created new nexus guidelines in each state followed by marketplace facilitator rules. In March 2020, COVID-19 reshaped our world where online sales greatly increased many workers working remotely causing other nexus creating activities in select states. Many companies are expanding their customer base and service offerings, from organic or acquisition of companies where nexus is created in new states requiring registrations. Some of the most difficult aspects of tax registrations is determining the states where nexus is created, if there are past sales tax exposure, and the best approach to manage the tax exposure without penalties. This topic will explore new nexus rules for sales tax, states where nexus may be established, managing the registration process, discussion on voluntary disclosure, and share the experience in assisting domestic and international clients with nexus issues, tax registrations, tax filings, voluntary disclosure, and tax amnesty.

Learning Objectives

• You will be able to identify the history of sales tax
• You will be able to differentiate which states impose which type of tax
• You will be able to differentiate between the various tax types
• You will be able to recognize how various transactions are taxed