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Archive for Sales Tax Mistakes

Costly Sales Tax Mistakes Businesses Are Making

Costly Sales Tax Mistakes Businesses Are Making

(A Top Blog Reposted For Our Readers)

The pandemic has been and will be remembered as one of the most impactful global events of our era. An unprecedented challenge was thrust upon the medical, government, and business community that will clearly change many of the behaviors of our society in the long run.

When state enforced lockdowns and the advice of medical professionals globally forced the ceasing of business as usual for industries across the country, businesses both large and small were left with one choice: adapt or die.

In an inspiring display of free market forces, most businesses chose to adapt and did so quickly. By the end of March 2020, a stunning number of businesses had employees working from home, restaurants were full curbside and delivery, retailers and customers were shifting to e-commerce in ways they were not previously, and everyone had ZOOM on their electronic devices.

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The Third Sales Tax Mistake Businesses Made In 2020: Exemption Certificates (Part 3 of 3)

The Third Sales Tax Mistake Businesses Made In 2020: Exemption Certificate (Part 3 of 3)

The COVID-19 pandemic has been and will be remembered as one of the most impactful global events of our era. An unprecedented challenge was thrust upon the medical, government, and business community that will clearly change many of the behaviors of our society in the long run.

As businesses worked quickly to adapt, one of the last issues many of them considered was compliance with state and local sales tax.

In Part’s 1 and 2, we talked about how remote employees and increased remote sales contribute to a larger sales tax nexus footprint, obligating more business to collect and remit sales tax. In Part 3, we talk about one of the most common sales tax compliance missteps that occur once a business has begun collecting sales tax.

Mistake #3 – If you aren’t collecting and verifying exemption certificates, then you will pay tax on your exempt sales

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The Second Sales Tax Mistake Businesses Made In 2020: Economic Nexus (Part 2 of 3)

The Second Sales Tax Mistake Businesses Made In 2020: Economic Nexus (Part 2 of 3)

The COVID-19 pandemic has been and will be remembered as one of the most impactful global events of our era. An unprecedented challenge was thrust upon the medical, government, and business community that will clearly change many of the behaviors of our society in the long run.

As businesses worked quickly to adapt, one of the last issues many of them considered was compliance with state and local sales tax.

In Part 1 of this article, we talked about how remote workers can create sales tax collection obligations for businesses through traditional nexus. In Part 2, we discuss the impact of economic nexus due to growth in internet and remote sales.

Mistake #2 – If your remote employees didn’t create nexus, your remote sales boost / pivot did

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The First Sales Tax Mistake Businesses Made In 2020: Nexus Due To Remote Employees (Part 1 of 3)

The First Sales Tax Mistake Businesses are Making During COVID-19: Nexus from Remote Employees

The COVID-19 pandemic has been and will be remembered as one of the most impactful global events of our era. An unprecedented challenge was thrust upon the medical, government, and business community that will clearly change many of the behaviors of our society in the long run.

When state enforced lockdowns and the advice of medical professionals globally forced the ceasing of business as usual for industries across the country, businesses both large and small were left with one choice: adapt or die.

In an inspiring display of free market forces, most businesses chose to adapt and did so quickly. By the end of March 2020, a stunning number of businesses had employees working from home, restaurants were full curbside and delivery, retailers and customers were shifting to e-commerce in ways they were not previously, and everyone had ZOOM on their electronic devices.

Read more