LumaTax

10/19/2022

Need help explaining nexus to clients? Check out our deep dive into the what, what, when and how of sales tax nexus.

2022 Sales Tax Nexus and Economic Nexus: Everything You Need to Know

This is the last sales tax nexus and economic nexus post you’ll ever need to read. Learn the what, why, when, and how of sales tax nexus.

10/10/2022

Valerie recently stopped by The SALTCast to chat with about sales tax advisory services and what we're up to at LumaTax. Watch or listen here:

Valerie has spent 10 years in Cloud Accounting technology. At LumaTax, she's empowering SALT and Client Accounting Services teams to streamline, elevate, & g...

09/27/2022

Commonly overlooked nexus triggers can create sales tax obligations in some states. These include:

📍Remote workers
📍Exempt sales
📍Local Taxes

Read more about each on our blog:

3 surprising nexus triggers you may not be aware of

09/19/2022

SaaS taxability is complex, and laws differ from state to state.

In this article, we cover which states currently tax SaaS, unique tax treatments in those states, and considerations for subscription-based SaaS when determining nexus ✔️

A current, comprehensive list of the 22 US states legally requiring businesses to collect sales tax on SaaS products in 2022.

09/14/2022

CPA Practice Advisor shares insights from Vertex Inc.'s mid-year report on state and local sales tax rates and rules.

"Historically, over the past 60 years, it has been shown that during adverse economic cycles, the sales tax provides a much more consistent method of funding relative to the income tax. Because of this, several states are considering reducing, eliminating, or replacing the income tax with a broad sales tax. Should these legislative attempts succeed, sales taxes would become an even more significant source of revenue for these states."

The Mid-Year Rates and Rules Report revealed that, although the implementation of taxes is beginning to level off, rates are higher.

09/13/2022

The Supreme Court changed the sales tax compliance landscape considerably with its landmark decision in South Dakota v. Wayfair in 2018. Many states enacted economic nexus laws shortly after, and most have a 3-year statute of limitations for uncollected sales taxes. Accountants and advisors have a significant opportunity to help clients navigate their sales tax obligations.

Everything begins with nexus.Most of your clients have no idea what nexus is, or why it matters when it comes to the impact it can have on their business. No...

09/07/2022

Are you helping your clients anticipate sales tax nexus inquiries and audit letters? A proactive approach can save your client from high penalties and interest rates.

In this article, the Journal of Accountancy shares guidance surrounding letters from the state, how to challenge an assessment, and what to do to mitigate a company's exposure.

Need help determining taxpayer's exposure? Use LumaTax to automate the consolidation of your clients' sales transactions, perform in depth state-by-state Nexus Analysis, and identify the best next steps to mitigate liabilities.

Be wary when a state sends a nexus questionnaire.

09/01/2022

Peloton is back in the news this week, and their lawsuit has been one to watch. The plaintiffs argued that the company "should have treated its $39-a-month "All Access" and $12.99-a-month digital memberships as tax-exempt "digital goods" in the four states, instead of charging sales tax between 6.3% and 8.9%. "

Digital Goods can be exceedingly complex. Some states view them as intangible, while others consider them tangible. Businesses are often caught off guard by how sales tax laws vary from state to state and even between various types of digital products.

It's important to proactively discuss these complexities with clients to help mitigate risk.

Do you have clients with digital goods in their product lineup? What challenges have they experienced?

A U.S. judge on Monday handed a victory to Peloton Interactive Inc , saying subscribers must arbitrate their claims that the maker of at-home bicycles improperly charged sales tax on memberships in New York, Virginia, Massachusetts and Oregon.

08/30/2022

State Sales and Use Tax Audits Are Increasing in 2022: Here's How to Avoid One

Worried about getting audited? You have good reason to be. Find out why more states are auditing businesses in 2022 and learn what proactive steps you can take to avoid being a target.

08/22/2022

8 Common Multi-State SUT Registration Issues (& How to Avoid Them)

Learn about entirely common multi-state SUT registration issues to be on the lookout for on behalf of your clients, and find out how to avoid them.

08/17/2022

Curious about LumaTax? Join Valerie for one of our weekly webinars to learn why leading Accounting and Advisory firms choose LumaTax to streamline sales tax advisory workflows.

We'll discuss how LumaTax helps you identify at-risk clients, analyze nexus exposure, and take actions to get clients on track- such as registrations, VDAs, and compliance.

Register here: https://hubs.li/Q01kgxXq0

08/15/2022

Accountant Checklist: Determining the Best Application of a VDA

Voluntary Disclosure Agreements (VDAs) are a great sales tax compliance tool. Read this post for a step-by-step guide on how to determine the best application of a VDA for your clients.