The SALTcast

Ryan Johnson, Daniel M. Peisner, CMI, Jason Parr CEO, Paul Johnson, VP

When it comes to sales tax in the US, E-commerce sellers face a tremendous challenge.

Every state has its own rules and tax rates. Each state has its own idea of "nexus" or the point at which a business is required to collect tax in their state. Each state has their unique laws around the taxability of goods and services in their state.

Some states exempt food products, and/or clothing, and/or, medical products, and/or digital goods. And these rules are constantly changing and evolving. E-commerce businesses and their advisors are caught in a very difficult position trying to stay on top of everything in this rapidly changing environment.

That's where this Podcast is meant to help. We'll try to bring episodes each week that will help keep up with the changes and give you answers to specific stat tax scenarios that e-commerce businesses face.

Understanding Sales Tax Taxability With Your Subscription Products and ServicesHow Technology Has Changed The Sales Tax WorldCould You Go to Jail For Failing to Remit Sales Tax?Are You Collecting the Right Sales Tax Rate?Sales Tax Due Diligence is More Important than You Realize.What is a Refund Review and How Could it Benefit You?Are You Registering Your Business to Collect Sales Tax? You Need to Hear This.When It Comes To Sales Tax Compliance There Are 3 Questions You Should Ask Yourself.Troubling Trends We Have Found With Sales Tax ComplianceConnecticut Has Released Information on Sales Tax Amnesty ProgramThe Taxability of Digital Goods,Subscriptions, and Services.You Will Probably Be Getting a Letter From Illinois Informing You of a Sales Tax AuditLet's Talk About Dropshipping2021 Florida Sales Tax Amnesty ProgramHitting Economic Nexus Thresholds? You May Have Established Physical Nexus Years Ago.3 Years Later: What Has Happened Since the Wayfair vs South Dakota Supreme Court Decision?Podcast Interview with JP McAvoy with The Millionaire's Lawyer Podcast
Quick-Show Notes:In this episode of The Millionaire’s Lawyer, JP, Jason Parr, and Paul Johnson discuss:Jason and Paul mention how things have greatly changed in the Tax world over the last few years.E-Commerce has made a great impact on how the government and states are looking at taxing businesses.Sales TaxTax on a transaction6% to 12% depending on the jurisdictionDifferent per stateHuge deal, aka, Margin Killer, if the sales tax is unpaidCan ruin selling your business should you not be compliantIn 2018 there was a Taxation case in the Supreme Courts in regards to where corporations are required to be registered and compliantJason and Paul state how important it is to have confidence regarding your taxation and make sure you have all jurisdictions covered in which you may be collecting tax.Collaboration builds confidence, outsource what you are not an expert in“What’s Next?” CallDo I have Nexus?Is what I have taxable in that jurisdiction? / Fully-taxable or partial?How do I sell?Market place FacilitatorIf you are using a place like Amazon, they do this for you.Each state taxes differently, Jason provides the example of SupplementsIn some states, the Supplements are fully taxableIn others, they are only partially taxable.You are responsible to know this.Jason and Paul mention that there is software out there to help trackThere are Monthly and Quarterly remittancesMake sure you are set up now for when you need to get there, prepare for the growth ahead of time.Manage where you are and set up the automation for that, and then when you expand add that into the automated system.StateAndLocalTaxScott LeTourneauBoth Jason and Paul feel like the Government is going to become a little bit more aggressive in regards to the corporations that are not compliant, and even those who are yet to be registered in the correct jurisdiction.Remain consistent in your Core ValuesIt is hard to successfully multi-task, slow down and become really good at one thing.Key TakeawaysFrom this episode of The Millionaires Lawyer with Jason Parr and Paul Johnson:You have to be registered and compliment in every jurisdiction your clients areTax laws have greatly changed over the last three years with the introduction of successful e-commerceTaxes are not something you are able to push offIf this is a situation that you are dealing with don't hesitate let's chat! Schedule your What's Next Call here: https://peisnerjohnson.com/whats-next/
Jul 8 2021
39 mins
As An Accountant, Bookkeeper, or CPA, Are Your Business Clients Sales Tax Compliant?Ever Considered a Sales Tax Refund Review?Do You Know Your Sales Tax Nexus?