article thumbnail

2024: What’s coming up in sales tax

TaxConnex

Weaker state revenue The kind of year it’s going to be for state coffers could greatly influence such future sales tax trends as new levies, tougher nexus thresholds and intensifying audits. By the way, there’s also a chance that Alaska will drop from the ranks of NOMAD states and institute its own statewide sales tax this year.

article thumbnail

Does sales tax apply to memberships?

TaxConnex

Gym and fitness chains and warehouse retailers, for example, use the internet to sell memberships to their franchised businesses all over the country. Ongoing discussions in Alaska to start a state-wide sales tax have pointed to taxing gym memberships as a service , not as goods. States don’t take membership sales tax lightly.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Four years since Wayfair: A trend takes hold

TaxConnex

Twenty-four states and the District of Columbia had added enforcement of economic nexus in 2019, in addition to the 19 that added the burden to online retailers right after Wayfair. Among states without a sales tax, Alaska municipalities were banding together to administer local sales taxes on remote commerce.

article thumbnail

Sales Tax Issues for Online Retailers

Withum

This landmark decision attempted to level the playing field between brick-and-mortar and remote online retailers. . Thus, the state legislature that sets the rules for sales tax for online retailers at the state level is implementing them locally also. The post Sales Tax Issues for Online Retailers appeared first on Withum.

Sales 80
article thumbnail

States ease nexus thresholds

TaxConnex

Thresholds were established, filing forms and deadlines fixed and one by one states waited for the money to roll in (with Florida and Missouri among the latest of the 45, with Alaska perhaps soon to join them). And the money did roll in for a while, especially during the pandemic when eCommerce exploded. Starting Aug.

article thumbnail

Happy fifth birthday, Wayfair, as your rules keep changing

TaxConnex

Of the 45 states with a statewide sales tax, the most recent to institute economic nexus were Florida and Missouri ( NOMAD state Alaska might join them soon). With an eye to easing the sales tax burden for smaller retailers, some 20 states have lowered their transaction thresholds. See a history of sales tax here.) Easing off?

article thumbnail

Risks of misunderstanding the impact of economic nexus

TaxConnex

The Court’s reasoning: the South Dakota law regulating home goods and furniture giant Wayfair did not burden retailers because only merchants doing a large annual business in the state were required to collect. This amount, plus penalty and interest, would be expected of you in the case of an audit. Wayfair, Inc.