Getting tax compliance right is important. The first step is understanding where your business has nexus, or where you need to collect and remit sales and use tax. Nexus is ever-changing and it can be confusing for even savvy professionals.
Once your business has nexus with a state or local jurisdiction such as a county or city, you must adhere to that taxing authority’s rules including collecting and remitting sales and use tax on products and services you sell. Use tax responsibilities come into play when taxable products or services are purchased without sales tax. The buyer must pay use tax to the jurisdiction where the item is used or stored. Read our 5 steps to managing sales tax guide to better understand your obligations and how to stay compliant.
