Multistate-Sales Tax Basics and Hot Topics (Currently Unavailable)

Author: Monika Miles

Most CPAs and other tax professionals deal predominantly with corporate and individual income tax and compliance issues. Quite often, sales tax isn’t addressed, either because the client “has it taken care of”, because the company is in a low taxability or net loss position for income tax, or simply because the company hasn’t considered the many sales tax ramifications of sending employees or third parties into a state, leasing property, etc. As the company’s CPA, do you know exactly where your clients are doing business? If a client receives a notice from a state asserting nexus and possibly retroactive sales tax liability, the CPA might be in a defensive situation. This class gives you the tools to be back on the offense!

This course will provide the basics of sales and use tax as well as the identification of common pitfalls, and current hot topics that will assist client service professionals identify areas of potential exposure and potential planning.

Publication Date: December 2016

Designed For
CPAs and other professionals who deal with their clients on “traditional” tax matters, those who know their clients are transacting business across state lines, or those whose clients are undergoing a sales tax audit (whether in their home state or in another state).

Topics Covered

• General sales tax concepts — sales tax on tangible personal property vs. intangibles and services
• Nexus — history, physical presence, primer on the Quill Supreme Court case which shapes our current practices
• Complementary use tax
• Specific state updates related to "anti-Quill" legislation
• Sales Tax Exemptions
• Internet sales and "Amazon" laws
• Sales tax and mergers & acquisitions
• Taxation of "the cloud"
• Remedies for sales tax non-compliance — voluntary disclosure agreements and amnesty programs
• Federal activity — Streamlined Sales Tax Project, Marketplace Fairness Act, other proposed legislation
• Sales tax compliance issues
• How to talk to your clients about sales tax issues

Learning Objectives

• Identify current Nexus Landscape Under Quill
• Recognize Amazon Laws or "click through" nexus
• Describe the Marketplace Fairness Act - Current situation — Potential changes to current practices if this legislation (or similar legislation) is enacted by Congress
• Differentiate between and nuances of voluntary disclosure agreements and amnesty programs
• Recognize how to deal with a notice from the state; or an audit
• Recognize sales tax for M&A transactions — how sales tax can derail a deal
• Identify the basics of the internet economy, taxation of SaaS, software, etc.
• Differentiate when a company has out-of-state sales tax obligation
• Describe attributes of Click-Through provisions
• Recognize the role of SSTP to most businesses

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
None

Advance Preparation
None