The Implications of Tax Nexus
Our lives have gone online—even more so with pandemic-related shifts in how we work and live. What does that mean for companies who sell goods outside of the states, or countries, where operations are based? Four years ago, the Supreme Court’s landmark decision in South Dakota v. Wayfair set new standards for sales and, conceivably, income tax nexus. Our course will address how economic nexus affects overseas companies, remote work arrangements, and insurance requirements. We’ll discuss new developments in these areas and take an eye to key examples of companies and policies on the forefront of economic nexus changes, including programs like Amazon FBA. We’ll spend some time unpacking compliance requirements.
After completing this course you will be able to:
- Explain how economic nexus affects domestic companies who do business across state lines and foreign companies who do business in the U.S.
- Identify key changes to tax nexus in light of recent judicial decision-making—and other unprecedented social, cultural and economic factors.
- Understand what federal protections may still insulate businesses from income taxes in states where they have nexus, and what activities they can and cannot undertake in those states to protect themselves.