Is Your Company Subject to Sales Tax?

If your company has recently expanded or begun doing business in a different way, you may have unknowingly triggered an act that subjects you to state or local sales tax.

Some of the items that could trigger sales tax nexus include:
•    You have opened up offices or business locations in other states
•    You have employees or independent contractors traveling or working from home
•    You are in the software industry
•    You sell a complex variety of services
•    You sell both services and tangible property

Even if nothing has changed in your business, states often change their rates.  In fact, some states who haven’t implemented a sales tax are rethinking that approach as they attempt to get more revenue for their budgets.  Oregon, for example, is considering implementing a 5% sales tax in lieu of personal income tax cuts. 

The bottom line is that it pays to stay informed about your company’s sales tax responsibilities. If you don’t have the knowledge or staffing in-house, pursue a relationship with an outside firm experienced in these matters.  Do not wait for a state auditor to come calling before you investigate your potential liabilities.

How can we help?

Allyn’s tax team is staffed with seasoned tax professionals experienced in all aspects of multi-state and local tax compliance and consulting for large US and global corporations.  We use that experience to your advantage.  Contact us and we can provide a customized cost-effective solution to meet your company’s needs.  For further information on Allyn Tax services, please contact: tax@allynintl.com.