Note: This post was updated on January 10, 2022 The basics of the Streamlined Sales Tax Project (SSTP) Sovos has been an active industry participant in the Streamlined Sales Tax Project (SSTP) since its inception in the year 2000. Sovos is a certified service provider™ (CSP) under the Streamlined Sales and Use Tax Agreement and […]
What are the state sales tax economic nexus requirements? Since the Supreme Court decision in South Dakota v. Wayfair on June 21, states have moved with incredible speed to enact economic nexus requirements. To keep our customers and the taxpaying public informed, Sovos has put together a South Dakota v. Wayfair economic nexus state requirements table that […]
Tax compliance is moving up the priority list as companies migrate from ECC to S/4HANA and S/4HANA Cloud. Multinationals recognize the inefficiencies of SAP-native compliance as government mandates redefine sales and use tax, e-invoicing, and VAT compliance and reporting requirements. Financial systems that were originally implemented to help manage growth are now hindering it. IT […]
In June, the United States Supreme Court announced its decision in the highly-anticipated and hotly-debated South Dakota v. Wayfair case, ruling in favor of South Dakota. Immediately, this decision triggered panic among eCommerce retailers across the country. What would this mean for their sales tax collection obligations? Would they be on the hook in a […]
It’s clear that company leaders understand that digital transformation is key for their very survival in a world of constant disruption, but only a small percentage actually have finished a company-wide transformation – opening the door to potential problems from lost customers to tax compliance issues. An SAP survey finds that 84% of 3,000 executives […]
The information technology (IT) and risk departments in most organizations have generally had little to do with each other outside of specific tasks. However, now that some of the biggest potential risks companies face involve data security, a new effort seeks to help IT and risk experts speak a common language, coming together to quantify […]
South Dakota v. Wayfair Decision Effects on Sales Tax Filing The South Dakota v. Wayfair decision is just a couple months behind us, and states are scrambling to impose new tax collection and remittance requirements based exclusively on economic or virtual presence. With July 1 registration deadlines in the rearview mirror and October 1 and January […]
Deborah Pflieger is a principal and leader of Ernst & Young’s information reporting and withholding practice. She tracks changes and trends in 1099 tax information reporting and will present on the topic at the 2018 Sovos Intelligent Reporting Summit in Denver in October. Pflieger recently spoke with Sovos about reporting trends that have caused concern […]
Candace Ewell, principal in the appropriately named Tax Controversy and Regulatory Services team at PwC, recently spoke to Sovos about form 1099-K, which has become a focal point for the IRS, states and companies in the sharing economy. She will present on the topic of the 1099-K at the Sovos Intelligent Reporting Summit in Denver […]
Business Repercussions in the Wake of the Supreme Court Decision on South Dakota v. Wayfair In the weeks since the South Dakota v. Wayfair Supreme Court decision, many tax professionals and experts have written about how organizations need to start planning and preparing for expanded sales tax determination, collection, and reporting responsibilities. Some have even […]
“Since virtually every decision or transaction undertaken in a business has a tax implication, and since the digital transformation is leading to entirely new business models such as centralization of certain functions into regional or global shared services centers, tax needs to adapt— quickly—to align with and be relevant to the increasingly digital and automated […]
Christopher Emerson is founder of White Oak Security, a company that tests the security of its clients’ business-critical systems by attacking them. Emerson will speak at the Sovos Intelligent Reporting Summit in Denver in October. Here, he talks about why companies still fail to secure their most important information adequately and what they can do […]
The IRS has officially announced they are eliminating the automatic 30-day extension of time for the 1099-MISC with Nonemployee Compensation. This move forces organizations with large amounts of independent contractors to question current tax information reporting processes, ensuring they don’t endure the same challenges faced from the original PATH Act deadline changes. PATH Act History […]
The Pennsylvania Department of Revenue recently unveiled a set of 1099 reporting requirements that will alter the landscape of reporting in the Keystone State. One regulation in particular will come as a welcome relief for institutions that report large volumes of 1099-R forms. Pennsylvania will allow multiple distribution codes for one person or entity to […]
In a recent South Dakota v Wayfair Q&A webcast, Sovos experts answered your most burning questions regarding which states have new regulations, statutes or pending changes relating to remote commerce, economic nexus sales tax obligations and how you should prepare. What should sellers be doing to prepare for this new era of sales tax where […]
New York recently changed its requirements for validating and reconciling 1099-R data, providing another example of how states are changing regulations in order collect revenue more accurately and more quickly. Financial institutions will likely need to adjust their processes in response. Institutions must file a form 1099-R for each person who received a distribution of […]
Sovos Chief Technology Officer, John Landy, comments on the new S1 platform. Businesses now need a new approach to handling taxes. With the new S1 architecture, that’s exactly what we’ve built. Tax has changed. What used to be merely a burdensome obligation is now becoming a risky and technical part of every major business process. […]