THE FINANCE LEADER’S GUIDE TO SALES TAX
5 rules to follow when creatinga tax compliance strategy
Ask Finance leaders about their priorities and the consensus is likely to be: Accelerate growth, maximize efficiency, reduce risk. No surprises there; they’re all critical factors to ensuring company success. What is surprising is how few financial leaders factor sales tax compliance into that equation. That’s changing.
On June 21, 2018, the U.S. Supreme Court ruled in the case of South Dakota vs. Wayfair, Inc. that states are within their constitutional rights to impose economic nexus, requiring remote sellers to collect and remit sales tax based solely on revenue and/or volume of sales into a state. Since then, more states have introduced economic nexus, forcing businesses to update their compliance practices to meet these new standards.
