The 50-year old physical presence standard for imposing use tax collection responsibilities on out-of-state sellers was recently overturned by the United States Supreme Court on June 21, 2018. The decision upheld South Dakota’s 2016 statute that required out-of-state retailers to collect and remit sales tax if the retailer had delivered more than $100,000 of goods or services into South Dakota or engaged in more than 200 transactions for the delivery of goods or services to South Dakota. Please join us for this 60-minute webinar to learn how the U.S. Supreme Court decision impacts multi-state sellers, either retail or wholesale, for sales and use tax collection obligations.
What You Will Learn:
- How quickly sellers are required to begin collection and remittance
- What obligations may be enforced retroactively
- New economic nexus standards and plans for compliance
- Safe harbors
- Tax administration registration and compliance hurdles to be overcome
- Implications for imposition of economic presence nexus for income taxes
The Wayfair Decision
- The issues and the litigants and amicus curiae
- The reasons for overturning the physical presence nexus standard
- Issues Not Addressed
Sales/Use Tax Imposition
- Current Economic Presence Nexus Standards
- Economic Presence Nexus Standards to be Enacted
- Impact of Physical Presence on Application of Nexus Standards
- Sales or Use Tax Registration and Collection? Does It Matter?
- Avoiding Use Tax Collection Responsibilities
- What about Sales in Foreign Commerce?
- Retroactive Enforcement – Is it Constitutional?
- Shortcuts for Multistate Sales/Use Tax Registration
- Options for Multistate Tax Collection and Remittance
- Voluntary Disclosure and Amnesties
- Impact of Wayfair on the States’ Income Tax Nexus Standard
- Compliance Opportunities and Shortcuts
- Tax planning updates
June Summers Haas is a partner with Honigman Miller Schwartz and Cohn LLP in Lansing where she specializes in advising clients on a nationwide basis on multistate tax strategies, resolving tax disputes and litigating state tax cases. Prior to joining Honigman Miller Schwartz and Cohn LLP, she was Michigan's Commissioner of Revenue for three years where she administered 23 taxes, managed an 800 person tax revenue operation and advised the Governor and Treasurer on tax policy. She also served for three years as Director of the Multistate Tax Commission's National Nexus Program.
Daniel Stanley is a partner at Honigman Miller Schwartz and Cohn LLP, where he is a state tax litigation specialist and also assists clients with audits from commencement to resolution. He provides state tax law representation to many Fortune 500 companies in Michigan and throughout the company. His practice spans all Michigan taxes including Michigan Corporate Income Tax, Michigan Business Tax, Single Business Tax, sales and use taxes, property tax appeals, motor fuel and highway trust fund taxes (federal and state), unemployment taxes, officer liability matters, and voluntary disclosure agreements (VDA).
One (1) credit for the MI Chamber Basic or Advanced Tax Policy & Finance Compliance Certification Compliance Certification Programs.
One (1) credit under the guidelines of the Michigan State Board of Accountancy.