We are very excited to announce the launch of our newly designed website. Visit us at www.taxconnex.com to check it out! 

TaxConnex is excited to report exciting growth coming out of 2020. While 2020 was full of chaos and trials, sales tax filings and returns did not stop, and we were able to continue to assist our clients and grow as a company in both employee size and revenue.  

The constantly changing nature of COVID-19 has left people with a lot of uncertainty. Sales tax isn’t an exception to that uncertainty as over 20 states have announced changes to their sales tax deadlines or policies in order to help businesses as they navigate life during the pandemic. If you’re like many businesses, you have sales tax nexus in multiple states. Keeping up with all their different regulations was difficult enough before COVID-19, and now it’s more complicated than ever.

In response to the uncertainty around COVID-19, I felt it was important to share our response to this rapidly developing situation.  Along with the safety of our employees, our top priority is maintaining a high-quality, uninterrupted service to support your business.  Your sales tax compliance continues to be our responsibility.  As we’ve always said, your sales tax compliance is all on us. 

I am excited to announce that we’ve partnered with Service 2 Software, a registered 501c(s) organization that exists to equip service members with the necessary skills to gain employment in the technology industry.  This partnership gives us a great opportunity to support our veterans while also providing skilled talent to our growing team. 

It’s been over a year since economic nexus was put into effect, and state and local jurisdictions have started knocking on doors to start collecting. Whether you are intentionally or unintentionally neglecting your sales tax obligations, the chance of audit is continuing to grow.

Businesses that sell into various states now have to contend with the sales & use tax regulations and requirements of thousands of jurisdictions nationwide. One big question for these businesses is how much time, effort, and money they need to devote to compliance – and do they need to pay attention to it at all?

You might be thinking, “Sales tax. Let them find me.”

If you thought 2019 was a confusing year for sales tax, wait for 2020, as more states continue to adjust their sales-tax laws.

Twenty-four states and the District of Columbia added enforcement of economic nexus in 2019, in addition to the 19 that added the burden to online retailers in 2018 after the Supreme Court overruled the physical presence rule in South Dakota v. Wayfair, Inc. More than ever, out-of-state sellers with threshold limits of sales in a given state must collect and remit sales tax.

Economic nexus laws are expected to continue to change in 2020 with updates projected from several states and with the addition of more states adopting Marketplace facilitator laws there is even more to keep watch for.  

As we enter 2020, we have a lot to be thankful for at TaxConnex^®.  In fact, 2019 was a record-breaking year for our company, and we couldn’t have done it without all of our partners, employees, and clients. 

TaxConnex was recognized as the No. 100 fastest-growing business owned or operated by a University of Georgia graduate during the 2017 Bulldog 100 Celebration February 4 at the Atlanta Marriott Marquis in downtown Atlanta.

TaxConnex founding Partner and UGA graduate Robert Dumas (BBA '84) center, with Partners Jeff Meigs and Brian Greer.

We’ve been conducting Lunch and Learns throughout the country over the last several months focused on sales tax nexus issues. We were last in Boston and we’re planning an event for the San Francisco – San Jose area right now. (BTW, if you have suggestions for a location and venue in the Bay-area please let me know.) We generally start with a basic overview of why sales tax nexus is important. I usually describe to the audience that without sales tax nexus a state has no ability to subject you to their sales tax rules. (At least that’s how things are now until further notice…..pay attention to the Marketplace Fairness Act.)

From there we discuss a more clinical definition of sales tax nexus citing the National Bellas Hess and Quill cases as the standards by which we live by today. We then turn to the discussion of what creates sales tax nexus. This is always interesting. Most people are aware of the typical sales tax nexus creating activities like physical offices, employees, and inventory. However, there are more subtle issues like Amazon laws, click-through nexus, traveling sales reps, attending trade shows, and engaging third parties to sell or perform services on one’s behalf. Here’s a link to our nexus questionnaire and our video series on Youtube that discusses sales tax nexus.