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Indirect Tax
Managing obligations and maximize efficiency in the U.S. and global marketplace
An indirect tax is collected by one entity in the supply chain and paid to the government by the retailer. The expense is passed on to the consumer as part of the purchase price. Indirect taxes generate significant revenue for the state or country that imposes the tax. Although indirect tax is common in the United States and throughout the global economy, it is complicated and many businesses are not getting it right.
Thousands of state and local taxing jurisdictions in the United States complicates any company’s sales and use tax compliance. When compounded with global growth and sales, the addition of value added tax (VAT) and goods and services tax (GST), companies are exposed to significant risk.
Proper indirect tax planning is a vital component of a businesses’ financial and operational strategy. Growing into new markets, expanding product lines and many other common business activities that generate profits often increase your indirect tax exposure.
most recent indirect tax insights
California enacts changes to recent remote seller provisions
California amends the effective date for district remote seller nexus requirements; offers penalty relief for certain marketplace sellers.
Wisconsin enacts marketplace facilitator law and biennial budget
Marketplace facilitators liable for sales tax collection; budget compromises avoid certain proposed tax increases on businesses.
Illinois enacts broad tax changes
The 2019 legislature passed several tax changes, issued marketplace facilitator rules and provided additional credits and incentives.
How will South Dakota v. Wayfair affect your club?
Learn more about the recent South Dakota v. Wayfair, Inc. U.S. Supreme Court decision and how it could affect private clubs.
New York exempts most GILTI; provides remote seller changes
New York enacts legislation exempting 95% of GILTI and increases the sales component of the economic sales tax nexus threshold.
Minnesota responds to the TCJA with special session tax bill
Minnesota’s long-awaited conformity bill presents new challenges for individual and corporate taxpayers; remote seller provisions modified.