Introduction to Sales and Use Tax Law (Completed)

Sales tax? Use tax? What’s the difference? Must I charge tax on my internet sales? Will I owe taxes in more than one state for the same sale? Why is my drop shipper charging me tax? Why did I receive a NEXUS Questionnaire and what if I don’t respond to it? I just got a notice that I have to conduct a self-audit and report my findings to the state – is this for real? I need help!

Over 40% of the annual state budgets are funded by sales tax. They know they are not receiving all the tax dollars they are owed. Yet many companies fail to comply with multi-state registration and collection. Untaxed internet sales have frustrated the states and they are actively lobbying Congress to change the rules. Are you in full compliance?

Who Should Attend
Controllers, CFOs, Tax Managers, Accounts Payable Managers, Purchasing Managers, & Compliance Managers.

Topics Covered

• Develop a solid plan to move your company toward compliance
• Review the basics of sales and use taxation
• Discuss legal developments in the area of taxation of internet sales
• Receive practical guidance to avoid penalties due to the ever increasing instances of audits by state taxing authorities

Learning Objectives

• Differentiate between a sales tax and a use tax
• Identify taxable sales and non-taxable sales
• Recognize how to determine whether the tax basis is equal to the sale of property or sale of services or both (the states are inconsistent)
• Idnetify how to determine whether you will owe tax on your internet sales
• Discover what the major internet retailers are doing to avoid charging sales tax on their sales and how/why bricks and mortar retailers oppose them
• Describe the latest information about the Main Street Fairness Act
• Identify the three key factors that could ensure exemption of freight charges from tax
• Recognize the limited protection provided by exemption certificates (they do not indemnify you from liability)
• Identify the nexus triggers to avoid having to register and pay taxes in states other than your home state
• Discover best practices for dealing with nexus in states other than your home stated when you haven't registered as required
• Identify the key policies and procedures your company should have in place to help with compliance and tax audits
• Examine the pros and cons of obtaining amnesty through the streamlined sales tax project
• Receive a list of valuable resources to help you learn the different requirements of individual states for exemption specific transactions from tax

Level
Basic

Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
None

Advance Preparation
None