In June 2018, the U.S. Supreme Court overturned a prior decision that required sellers to have a physical presence in the state before the state could require the collection and remittance of sales tax for goods or services sold to its residents. In the Wayfair case, the Court upheld a S...
Sales tax cases continue to arise in the courts, too: Earlier this year, the U.S. Supreme Court declined to hear a case arguing that a company located in North Carolina should not have to pay the state $3.24 million in sales taxes and penalties for items that it sold outside of the ...
In previous publications, we talked about the Wayfair case and the states’ right to impose their sales tax laws (both the tax itself as well as the obligation to collect and remit on their behalf). We believe the Wayfair decision could greatly expand the states’ rights even for those stat...
states have been looking to assert sales tax rules on companies with a mere “economic presence” within the state, rather than the tried and true “physical presence” (i.e. established under the Quill case).
Please join Steptoe for a 90-minute webinar as we make sense of the new and challenging sales tax issues presented by the US Supreme Court's recent decision in the Wayfair case. The Wayfair case tossed out the long standing "physical presence" nexus test for sales tax collection for an "...
businesses must involve the appropriate personnel from accounts receivable, accounting, tax, and information technology. In addition, any process that affects invoicing will need to be thoroughly tested as invoicing is a customer-facing issue and, in this case, a legal issue. As such, businesses ...
— Both the House and the Senate passed versions of a Wayfair tax Thursday, moving the legislative priority forward as session reached its midpoint. SB 153 from Sen. Andrew Koenig and Rep. J. Eggleston’s HB 554 would both allow the state to impose a sales tax on online purchases made...
Sales Tax Editor: Catherine Stanton, CPA On June 21, 2018, the U.S. Supreme Court decidedSouth Dakota v. Wayfair, Inc.,1a case that would significantly change the landscape of sales tax collection as tax practitioners had come to know it. The decision allowed South Dakota to impose its sa...
Sellers of digital products and services face industry-specific problems, including analyzing and determining each state’s treatment and sourcing of digital products. Here’s a look at the Court’s decision, some of the issues the case left unresolved, and tax and sourcing problems left inWayfai...
Nonetheless, the chairman has consistently insisted Congress is the proper venue for the discussion. Last December, when the Supreme Court was deciding whether to take the Wayfair case, heurged the justices to let Congress settle the matter. Although the court didn’t heed his advice, he...