The U.S. Supreme Court has issued its highly anticipated decision in South Dakota v. Wayfair, paving the way for states to impose economic sales tax nexus standards on remote retailers.
The decision overrules the previous Supreme Court ruling in Quill v. North Dakota which required a physical presence sales tax nexus standard. This decision will have significant implications for almost all industries, but especially consumer products (retailers) and industrial products.
With a new sales tax nexus standard established, more states will require all retailers that sell within their borders to collect that state’s sales tax. About a dozen states have already addressed economic nexus laws or regulations.
However, Wayfair has created many more questions than answers. Adapting your business to the new sales and use tax landscape will take time, even though you may need to react quickly.
To learn more and to discuss how Wayfair affects your business, please read RSM’s alert, U.S. Supreme Court kills Quill physical presence.
For additional information, please contact:
Michael Vogel, CPA at 800.880.7800 ext. 1358 or firstname.lastname@example.org
Aaron Wilzbacher, CPA at 800.880.7800 ext. 1322 or email@example.com
John Rittichier, CPA at 800.880.7800 ext. 8484 or firstname.lastname@example.org