Wayfair & Economic Nexus for Foreign Sellers: Key Sales Tax Questions and Answers
If you’re a foreign (non-U.S.) seller making sales to U.S. consumers, you may have heard about the U.S. Supreme Court’s recent decision in South Dakota v. Wayfair, Inc. Perhaps you’ve also heard about a something called “economic nexus” and are wondering how this new standard impacts foreign sellers. In many of my prior “U.S. Sales Tax […]
Do International Sellers Registering for Sales Tax Need a U.S. EIN?
Are you a seller located outside of the United States that sells or plans to sell to U.S. customers? If so, you probably have many questions about the U.S. tax requirements that apply to international businesses. And if you are particularly concerned about how our sales tax laws apply to international (non-U.S.) businesses, then […]
International Sellers and U.S. Sales Tax Registration: 3 Key Issues
If you’ve made your way to this blog post, you’re probably an international seller that has begun to sell (or will soon be selling) to customers in the U.S. Or perhaps you’re an international seller that is wondering whether you’ll have to collect sales tax if you sell to U.S. customers. Or maybe you […]
Tax Treaties and U.S. Sales Tax Nexus: What Foreign Sellers Need to Know
How the U.S. sales tax rules apply to foreign (non-U.S.) companies that sell to customers in the United States can be complex and confusing! For some foreign sellers, the U.S. transaction based sales tax is very different from the consumption based model followed in many countries. Additionally, some foreign sellers may not realize […]
As States Rush to Adopt Economic Nexus Post-Wayfair, Is Congressional Action Needed?
It’s hard to escape any discussion of Wayfair these days. This isn’t surprising, as we witnessed history on June 21, 2018, when the U.S. Supreme Court overturned the physical presence standard in South Dakota v. Wayfair. And in doing so, overturned 51 years of precedent that had restricted states from imposing their sales tax […]
Amazon Exposes FBA Sellers in Massachusetts: 5 Key Considerations
If you’re an Amazon FBA seller – and even if you’re not – there’s a good chance you’ve heard about the recent development involving Amazon turning over specific information about its Amazon FBA sellers to the Massachusetts Department of Revenue (DOR). And if you’re one of the FBA sellers whose information was provided to the […]
Economic Nexus: The “New Normal” or the Demise of Quill?
IMPORTANT UPDATE: Since the original publication of this post, the South Dakota law, discussed in detail below, was challenged as unconstitutional. On June 21, 2018, the U.S. Supreme Court held in favor of the state in South Dakota v. Wayfair and overturned the physical presence standard – opening the door for other states to adopt […]
Sales Tax on Cloud Computing, SaaS and Related Business Solutions: Massachusetts Issues Draft Directive, Provides Criteria for Establishing Taxability
“Cloud computing”, “Software-as-a-Service”, “business solutions” which include an incidental transfer of software – subject to Massachusetts sales tax, or not? A recently issued Massachusetts Department of Revenue Working Draft Directive establishes criteria for determining whether transactions involving software and related solutions are subject to the Massachusetts sales tax. _______________________________________________ Massachusetts Issues Working Draft Directive 13-XX, […]