For businesses operating out of brick-and-mortar stores, sales & use tax is simple as the store is subject only to the tax laws within their state-of-operation. However, this is not the case for e-commerce businesses.
E-commerce businesses are obligated to collect and pay sales tax, and sometimes income tax, depending on state-by-state definition of nexus, or physical presence. Nexus is based on sale volume, physical presence (warehouse, office, inventory), or human presence (employees or independent sales agents). Every state determines the amount of business activity that creates nexus, and which products and services are taxable.
Because online businesses sell across state lines, it is difficult for business owners to determine their tax presence in a state, and which products or services are taxable. To comply with the ever-changing state-by-state tax regulations, a business owner must be familiar with the tax laws in every state they sell in, and how these laws apply to their business.
This is an impossible amount of detail for business owners to follow. Miss one detail and your business could be non-compliant. That’s where Seton Financial Solutions comes in.
We support your business by providing powerful solutions on the following aspects of sales and use tax:
- Annual nexus review – to assess nexus footprint, sales tax rates, and product/service taxability
- Nexus study – to gain an understanding of your business’s potential tax presence in multiple states
- Business state income tax returns
- Sales tax returns
- Registrations with states
- Sales tax rate setup
- Sales tax rates reports
- Taxability impact report setup – determining & classifying taxable and exempt sale of products and services
- Taxability impact monthly reports – keeping you informed of any tax law changes across states
By collaborating with us, you’ll be able to focus on growing a successful online business, and we’ll handle your sales & use tax.
Give us a call today at (413) 318-4138, or CLICK HERE to schedule a FREE consultation. There’s absolutely no obligation and no pressure.