State & Local Tax
We help clients understand and comply with multistate tax requirements.
Helping you navigate complex SALT tax rules from state to state.
When your business crosses state and municipal lines, you need the help of state and local tax advisors who understand the various rules for each taxing jurisdiction. It can be complex, overwhelming and frustrating to simply calculate your tax burden on your own, let alone make strategic business decisions. And the risk of making a mistake has never been higher. As state and local revenues shrink, the taxing jurisdictions have become more aggressive in their collection efforts.
Our State & Local Tax (SALT) advisors will help ensure that you comply with your filing obligations for each jurisdiction in a smart and cost-effective manner. And we’ll identify SALT tax planning strategies to take advantage of opportunities.
State & Local Tax Services
Nexus Determination and Filing Reviews
Where are you filing? More importantly, where should you be filing, or are you paying too much tax in certain jurisdictions? We can review nexus using the latest standards, and review returns to ensure optimum filing methodologies. If you should be filing somewhere, but are not, we can help you with a voluntary disclosure that could significantly reduce tax liabilities, penalties and interest.
The U.S. Supreme Court decision in South Dakota v. Wayfair overturned the physical presence standard for sales and use tax nexus. Many states now impose nexus for sales and use tax collection for remote sellers that meet state thresholds for sales or number of transactions. We can help your business by reviewing your numbers to determine if you should be filing and collecting sales tax.
Sales Tax Registration
Prior to doing business in a state, your business is required to file and maintain sales tax registration. We can help with registering your business in each state, county, transit district, and city jurisdiction where you are subject to sales tax.
Sales Tax Filing
Is sales tax filing too taxing on your time and resources? We can streamline the process by working with top sales tax vendors to outsource your sales tax return filings and tax payments. We also offer a full line of sales tax compliance services, including exemption certificate management and sales tax audit defense.
States have become very strict on collecting and retaining exemption certificates from customers for sales, and issuing exemption certificates to vendors for purchases. We can help set up a system for collecting, validating, retaining and organizing your customers’ exemption certificates.
Sales Tax Refund Analysis
Are you paying too much sales tax? Many companies do without realizing it. We can help analyze purchase and accrual history to identify overpayments and refund opportunities.
Transactional Tax Planning
Many business transactions present potentially significant direct and indirect tax issues. We can help identify and proactively plan for sales and use tax impacts of such transactions, including income, franchise and gross receipts tax, sales and use, employment and property taxes. Also, our buy-side and sell-side financial and tax due diligence services help you strengthen negotiations and make better-informed decisions.
Nexus and Voluntary Disclosures
Standards for sales and use tax nexus differ from other types of taxes. We can help identify where filing obligations exist, and mitigate liability through state voluntary disclosure (VDA) programs and tax amnesty programs.
Sales Tax Controversy
Audit activity has increased for all types of state taxes. CSH SALT tax advisors can guide you through the examination process and explore opportunities for settlements and offsets in the form of refund requests where tax was overpaid. We actively work with state and local jurisdictions to effectively manage the audit and reduce the burden.
Nearly 30 states have already adopted economic presence thresholds similar to South Dakota’s. This interactive map shows which states have implemented economic nexus thresholds due to the Wayfair decision and the effective dates.
Visit our FAQ page for the most common questions and answers about the case, and its repercussions.
Content provided in this map is for informational purposes only and subject to change. Information in the map is current as of August 16, 2018.
For the very latest information on state by state economic nexus, please contact a Clark Schaefer Hackett professional.
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