2020 State of Sales & Use Tax Inaugural Report
The report provides a here and now assessment of sales tax administration, examining trends in nexus laws and regulations and how current economic circumstances brought on by the COVID-19 pandemic are impacting state’s abilities to collect taxes owed and preserve revenue streams.
Governments at every level have expanded investments in technology to digitize the sales tax collection process and close existing tax gaps. When combined with the Wayfair decision, which vastly expanded the nexus footprint of organizations, states moved quickly to establish new regulations to maximize income. This Sovos report details how rapidly the sales tax landscape is evolving.
This new approach to sales tax is forcing organizations to reexamine how they facilitate processes internally to ensure compliance. While manual processes and custom solutions may have been suitable in past environments, increased levels of speed, oversight and complexity now demand more sophisticated methods. In the report, our experts explore the relationship between tax and IT and why better collaboration between the two should be an integral part of your compliance strategy.