Tax Intelligence · Episode 01
State Nexus Demystified: Navigating Tax Compliance After Wayfair
About This Episode
What creates a tax obligation in a new state? In the premiere episode of Tax Intelligence with TaxOps, Marc Gordon and Lindsay Haskell explore state nexus: the expanding rules that determine when a business must file, collect, and remit tax in a state.
They break down the difference between physical nexus, created by property, payroll, or people in a state, and economic nexus, which the Supreme Court opened up in South Dakota v. Wayfair, Inc. They also explain why remote work has quietly enlarged many companies’ tax footprints, and why states that share data across agencies make “how will they know?” an unreliable compliance strategy.
The second half turns to what to do about it. Marc and Lindsay walk through how to model prior-year exposure, why an unfiled return means the statute of limitations never starts running, and when a Voluntary Disclosure Agreement (VDA) is the right strategic move to resolve past liabilities and move forward in compliance.
“Do we have nexus somewhere we don’t know about?”
The question behind this episode
What You’ll Learn
- What nexus means for your business, and how physical and economic nexus differ
- How South Dakota v. Wayfair changed sales tax rules, including the $100,000 or 200-transaction threshold
- Why a single remote employee can create nexus your leadership team does not know about
- The risks of ignoring nexus, including exposure that can reach back 10 years or more
- How Voluntary Disclosure Agreements (VDAs) can reduce past liabilities
In This Episode
Short Takes
Clips From This Episode
Quick cuts from the conversation, ready to share with your team.
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