In this current pandemic, more and more businesses transactions are being taken online. When selling goods or services into the United States, you may have to collect sales tax for that transaction in each state your client resides.
No longer do you need to have a physical presence - or "nexus" - in the U.S. to be sales tax obligatory. It all started with the U.S. Supreme Court decision South Dakota v. Wayfair on June 21, 2018. The so called Wayfair Act allows states to mandate that businesses with more than 200 transactions or $100,000 in-state sales, collect and remit sales taxes on transactions in the state, whether the business has a physical presence in the state or not. The new law rather allows the state to tax businesses based on the customer's location and the amount of sales, not the location of the business. Many states followed South Dakota, resulting in a collection of similar but at the same time wildly varying tax laws apply and doing business in the U.S. all of a sudden feels like doing business in "50 different countries".
Topics to be addressed in this webinar:
- What EU exporters selling into the U.S. need to know about inter-state sales tax?
- Who is subject to Wayfair Tax and what level of activity is required to subject a company to sales/use tax?
- How is this being enforced and how does the future look?
- What types of transactions are taxed and how do U.S. States differentiate?
- Are there issues specific to European companies?
- What are the details (who is subject to the tax; filing and remittance; penalties; red flags)?
- What rights do businesses have state by state?
- What is the impact of Brexit?
- What you need to know to plan ahead?
- Betsy Gillon, Managing Member, GILLON TAX
- Jared Johnson, Principal, OFFIT KURMAN