U.S. Sales and Use Taxes: Advising Non-U.S. Entities on Compliance Issues

Daily Tax Report: State provides authoritative coverage of state and local tax developments across the 50 U.S. states and the District of Columbia, tracking legislative and regulatory updates,...

The U.S. is the only major OECD nation that does not impose a VAT. As a result, for businesses looking to expand into the U.S. market, multiple state and local level transaction taxes are a foreign concept. Accordingly, when establishing a retail enterprise within the U.S., it is essential that the business develop and implement an effective internal sales and use tax compliance process that integrates with and complements its global indirect tax management system. In this article, Karl Nicolas of Ernst & Young discusses how these businesses can proactively manage the issue and avoid many of the tax, regulatory and accounting challenges that arise throughout the tax and business life cycle.