# The Sales Tax People > The Sales Tax People (TSTP) is a U.S.-based sales tax compliance firm helping businesses identify nexus, determine taxability, resolve past liability, and manage ongoing return filings. We operate on the domain sales.tax and are an Ampleo company. We were founded in 1992 as Peisner Johnson and rebranded in 2025 following our merger with Ampleo. We work with mid-to-large businesses -- typically $5M+ in revenue operating in multiple states -- that need expert, human-led sales tax support. Our clients include e-commerce brands, SaaS companies, manufacturers, distributors, and businesses in complex industries like construction and telecom. Unlike automated software platforms, we pair real accountants and consultants with every engagement. Initial consultations ("What's Next?" strategy calls) are always free. ## Services - **Nexus Analysis** -- Identifying which states a business has triggered sales tax nexus in, based on physical presence and economic thresholds - **Taxability Determination** -- Analyzing whether a business's products or services are taxable in relevant jurisdictions - **Voluntary Disclosure Agreements (VDAs)** -- Helping businesses with past liability resolve exposure proactively and reduce penalties - **Sales Tax Registration** -- Registering businesses in states where they have nexus obligations - **Return Filing & Ongoing Compliance** -- Managing monthly, quarterly, and annual sales tax return filings across all required states - **Audit Defense & Representation** -- Supporting businesses through state sales tax audits - **Overpayment Recovery** -- Identifying and recovering sales tax overpayments - **Due Diligence** -- Sales tax review for business acquisitions and transactions ## Who We Work With Our core clients are finance leaders (CFOs, Controllers, VPs of Finance) at businesses with: - Revenue of $10M-$500M+ - Nexus in multiple states - Complex product or service taxability questions - Past exposure from rapid growth, acquisitions, or marketplace expansion Industries we serve include e-commerce, SaaS, construction, warehousing, retail, and telecom. ## Key People - **Jason Parr** -- President & CEO; 30+ years of SALT (State and Local Tax) expertise - **Paul Johnson** -- COO; 18+ years of sales tax experience; oversees all operations and return filings - **Danny Wright** -- VP of Partnerships & Business Development; leads CPA and accounting firm referral partner program - **Jenner Bryson** -- VP of Operations ## How to Get Started The right first step is a free "What's Next?" strategy call. We assess your situation, answer your questions, and give you a clear compliance roadmap -- no charge, no commitment. Book a call: https://sales.tax/whats-next Learn about our services: https://sales.tax/services Read our resources: https://sales.tax/resources ## About Our Approach We start every engagement with nexus. Before you can determine what you owe or where to file, you need to know where you have obligations. From there we move to taxability, registration or VDAs (if there's past liability), and then ongoing filing. We believe just talking should always be free. That's why our initial consultation is complimentary -- no matter how complex your situation. ## Pages - Pricing: https://sales.tax/llms/pricing.md - Services: https://sales.tax/llms/services.md - About: https://sales.tax/llms/about.md - Who We Serve: https://sales.tax/llms/who-we-serve.md - FAQ: https://sales.tax/llms/faq.md ## Optional - Full content: https://sales.tax/llms-full.txt - Full sitemap: https://sales.tax/sitemap.xml - Contact: https://sales.tax/contact-us - Partner with us (CPAs & fractional finance leaders): https://sales.tax/referral-program/ --- # Services -- The Sales Tax People > Comprehensive sales tax compliance services for multi-state businesses. Every engagement starts with a free What's Next consultation: https://sales.tax/whats-next --- ## Nexus Analysis and Taxability **URL:** https://sales.tax/services/nexus-and-taxability/ We always say: start with nexus. Before you can determine what you owe or where to file, you need to know where you have obligations. Nexus is the connection or presence that a business establishes in a particular jurisdiction, triggering its responsibility to collect and remit sales tax. There are two types: **Physical nexus** -- Traditional presence in a state: a store, warehouse, employees, inventory, or attending trade shows. Physical nexus exists in every state and was not eliminated by Wayfair. **Economic nexus** -- Triggered by sales volume into a state, even without physical presence. Most states use a threshold of $100,000 in sales or 200 transactions per year, though rules vary by state. ### What a nexus risk analysis includes: - Kickoff consultation with an expert - Physical and economic nexus review across all relevant jurisdictions - Analysis of historical sales data - Sales tax responsibility calculation - Risk assessment report - Delivery of compliance options and implementation guidance **Price:** Starting at $3,900 (project-based) **More info:** https://sales.tax/services/nexus-and-taxability/ --- ## State Registrations **URL:** https://sales.tax/services/registrations-and-vdas/ Once you know where you have nexus, you need to register in those states before you start collecting. Every state administers its own sales tax system -- there is no universal license. We handle the registration process in any state, for any tax type, start to finish. ### What registration includes: - Any tax type - Any jurisdiction (US and Canada) - Kickoff consultation and review call - Permit application handling - Registration tracker - Verify and set up online account(s) - Compliance documentation ### When to register: - Starting a new business - Expanding to new states - After a nexus analysis identifies new obligations - Following a business structure change or acquisition **Price:** Starting at $300 per jurisdiction **More info:** https://sales.tax/services/registrations-and-vdas/ --- ## Voluntary Disclosure Agreements (VDAs) **URL:** https://sales.tax/services/registrations-and-vdas/ A VDA is a formal agreement between a business and a state that allows the business to come forward voluntarily to resolve past sales tax liability -- typically in exchange for a limited lookback period (usually 3-4 years instead of the full audit window) and a waiver of penalties. It is almost always better than waiting for the state to find you first. ### What VDA services include: - Resolve historical liability - Get compliant from start to finish - Limited statutory lookback negotiation - Penalty and/or interest waiver - Dedicated expert liaison - Expert advocacy with state tax authorities ### When to use a VDA: - Business has been selling without proper registration - Historical noncompliance or unfiled returns - Proactive risk mitigation before a state audit **Price:** Starting at $5,400 per jurisdiction **More info:** https://sales.tax/services/registrations-and-vdas/ --- ## Sales Tax Return Management **URL:** https://sales.tax/services/sales-tax-management/ Ongoing, fully managed sales tax compliance. We handle the entire filing process from start to finish -- compiling transaction data, performing reconciliations, preparing returns, and ensuring timely submissions across all jurisdictions. ### What return management includes: - Delegated sales tax management - White-glove service - Return preparation and filing - Management of notices - Tracking of credits - Periodic nexus reviews - All jurisdictions (US and Canada) - Unlimited email and phone support - Dedicated sales tax team - Custom reporting - Annual review of sales data to identify new nexus obligations **Price:** Starting at $600 per month **More info:** https://sales.tax/services/sales-tax-management/ --- ## Audit Defense and Representation **URL:** https://sales.tax/services/sales-tax-audit-defense/ Sales tax audits are manageable with the right team. We provide full audit support at every stage -- from the moment you receive a notice through final resolution. ### What audit defense includes: - Pre-audit preparation and risk evaluation - Documentation organization - Strategic planning - Auditor communications - Record presentation - Developing audit arguments - Negotiation with auditors - Regulatory support - Onsite audit reviews (when needed) - Administrative representation in proceedings **More info:** https://sales.tax/services/sales-tax-audit-defense/ --- ## Overpayment Recovery **URL:** https://sales.tax/services/sales-tax-recovery/ Businesses overpay sales tax more often than they realize. We identify discrepancies and recover overpayments on your behalf. **More info:** https://sales.tax/services/sales-tax-recovery/ --- ## Due Diligence **URL:** https://sales.tax/services/due-diligence/ Buying or selling a business? We review the sales tax situation to ensure the transaction is clean and liabilities are properly understood before close. **More info:** https://sales.tax/services/due-diligence/ --- ## Quality Guarantee We back all services with a 100% quality service guarantee. If an error occurs on our end, we handle the ramifications so you don't have to. --- ## Get Started Book a free What's Next call: https://sales.tax/whats-next View all services: https://sales.tax/services Pricing: https://sales.tax/pricing -e --- # About -- The Sales Tax People > The Sales Tax People is a U.S.-based sales tax compliance firm with over 30 years of experience helping businesses navigate multi-state sales tax obligations. **Website:** https://sales.tax **About page:** https://sales.tax/about --- ## Who We Are The Sales Tax People is an exclusively focused sales and use tax firm. We do not do general accounting or broad tax advisory -- our entire practice is built around sales tax. That specialization is what makes us effective. Our mission has always been to solve our clients' state and local sales tax (SALT) problems. Our clients benefit from extensive knowledge, experience, and a client-first approach. --- ## Our History **1992** -- Founded as Peisner Johnson in Dallas, TX by Andrew Johnson and Jerry Peisner. Developed dedicated SALT solutions for retail, corporate tax executives, finance professionals, CPAs, and tax accountants. **2018** -- South Dakota v. Wayfair, Inc. fundamentally changed sales tax collection for e-commerce. The ruling allowed states to require online retailers to collect sales tax without a physical presence in the state. Peisner Johnson adapted its services to become a leading resource for economic nexus compliance. **2021** -- Adopted the tagline "The Sales Tax People," reflecting the firm's commitment to making complex sales tax matters more approachable and human-centered. **2024** -- Merged with the Ampleo Group and officially rebranded as The Sales Tax People. The merger combined deep sales tax expertise with Ampleo's comprehensive business advisory and fractional executive services. --- ## By the Numbers - Founded: 1992 - Projects completed: 27,000+ - States and jurisdictions with experience: 9,000+ - Clients served: 1,000+ - Sales tax saved for clients: $90,000,000+ - Google rating: 5.0 --- ## Leadership **Jason Parr** -- President & CEO 30+ years of SALT expertise. Leads the firm's overall strategy and direction. **Paul Johnson** -- COO 18+ years of sales tax experience. Oversees all operations and ensures accurate return filings for every client. Deep subject matter expert across all areas of sales tax. **Danny Wright** -- VP of Partnerships & Business Development Leads the CPA and accounting firm referral partner program. **Jenner Bryson** -- VP of Operations Oversees day-to-day operational execution across client engagements. --- ## Our Values **Do good. Be good.** -- We act with integrity, communicate honestly, and deliver on our promises. **We over me.** -- We prioritize team success above individual achievement. **Keep digging.** -- We persist in finding the best solution, even in difficult situations. --- ## Locations - **St. George, UT** -- Our largest office - **Lehi, UT** -- Part of the Ampleo Group hub in Silicon Slopes - **Dallas, TX** -- Our founding location **Phone:** (800) 940-9433 **Email:** info@sales.tax --- ## Part of the Ampleo Group The Sales Tax People is an Ampleo company. Ampleo provides business advisory and fractional executive services. The merger combines specialized SALT expertise with broader business resources and capabilities. **Ampleo website:** https://ampleo.com --- ## Trusted By Crumbl Cookies, Kodiak Cakes, YESCO, Volcom, Rent-A-Center, Aptive, Wyze, Squatty Potty, Rent the Runway, Mitsubishi Forklifts, Dr. Squatch, Cymbiotika, Bucked Up, Board Game Geek, and thousands more. -e --- # Who We Serve -- The Sales Tax People > The Sales Tax People works with mid-to-large businesses that need expert, human-led sales tax compliance support across multiple states. **Get a free consultation:** https://sales.tax/whats-next --- ## Our Core Client Profile We work best with businesses that have: - Revenue of $10M-$500M+ - Nexus or potential nexus in multiple states - Complex product or service taxability questions - Past exposure from rapid growth, acquisitions, or marketplace expansion - A finance leader (CFO, Controller, VP of Finance) who owns the compliance problem We are not the right fit for single-state businesses with simple tax situations. We specialize in complexity. --- ## Industries We Serve ### E-commerce and Retail Multi-state sellers dealing with economic nexus thresholds, marketplace facilitator rules, and platform-specific compliance gaps (Shopify, Amazon, Etsy, etc.). A common problem: sellers who have been collecting sales tax but never registered or filed in the states they're collecting from. ### SaaS and Technology Companies Navigating multi-state nexus and product taxability questions. Digital products and software are taxed inconsistently across states -- some tax SaaS, some don't, and the rules keep changing. ### Manufacturers and Distributors Managing exemption certificates, resale documentation, and use tax exposure on purchases. Getting this wrong during an audit is expensive. ### Construction and Contractors One of the most nuanced areas of sales tax. Rules vary significantly by state -- some tax materials at purchase, some at the project level, some exempt certain project types entirely. Physical presence created by job site work also triggers nexus quickly. ### Accounting Firms and CPAs We serve as the outsourced SALT practice for accounting firms whose clients have sales tax needs beyond the firm's in-house expertise. We work directly with the firm's clients under their direction. Learn more: https://sales.tax/support/cpas-and-accounting-firms/ ### Marketplace Sellers Businesses selling on Amazon, Etsy, eBay, and other platforms. Marketplace facilitator laws mean the platform collects tax in most states -- but sellers may still have registration and filing obligations, and any sales outside the marketplace are fully the seller's responsibility. ### Multi-state Service Providers Service businesses often mistakenly assume they have no sales tax exposure. Many services are taxable in certain states, and the rules vary significantly. ### Telecom and Communications Highly regulated industry with complex state and local tax obligations beyond standard sales tax. --- ## Common Situations We Resolve **"We've been selling in multiple states but never registered."** This is one of the most common situations we see. VDAs can significantly limit lookback exposure and waive penalties. The worst thing to do is keep selling without addressing it. **"We just received a sales tax notice from a state."** Don't ignore it. We deal with state notices regularly and can quickly assess what's going on and what needs to happen next. **"We're growing fast and don't know where we have nexus."** A nexus analysis gives you a clear picture before the exposure compounds. **"We're being acquired (or acquiring a company) and need to clean up the sales tax situation."** Our due diligence service ensures the transaction doesn't inherit unexpected liability. **"We're using Shopify / Avalara / TaxJar -- aren't we covered?"** Software automates rate calculation and sometimes filing, but it doesn't register you, advise on taxability, manage notices, or resolve problems. A tool is not a team. **"We're facing an audit."** We provide full audit defense from pre-audit preparation through final resolution. --- ## What We Are Not We are not a software platform. We are not a general accounting firm. We are not a DIY resource. We are a specialized team of accountants and consultants who handle sales tax exclusively -- for businesses that have real complexity and real exposure. --- ## Get Started Every engagement starts with a free What's Next call. We'll listen, assess your situation, and tell you exactly what you're looking at -- no charge, no commitment. Book a call: https://sales.tax/whats-next -e --- # Simple, transparent pricing We have options to help you get and stay compliant, no matter your situation. --- ## Sales Tax Returns — Starting at $600/month **Never worry about your sales tax compliance again** The most comprehensive option for businesses that need ongoing, fully managed sales tax compliance. We handle everything so you can focus on running your business. **What's included:** - Delegated sales tax management - White-glove service - Return preparation and filing - Management of notices - Tracking of credits - Periodic nexus reviews - All jurisdictions (US and Canada) - Unlimited email and phone support - Dedicated sales tax team - Custom reporting [Get started](https://sales.tax/pricing/?service=strs) | [Learn more](https://sales.tax/services/sales-tax-management/) --- ## Nexus Risk Analysis — Starting at $3,900 **Understand your actual liability** Before you can fix your sales tax exposure, you need to know what it is. Our nexus analysis gives you a clear, expert-driven picture of where you have obligations and what your options are. **What's included:** - Kickoff consultation with an expert - Physical and economic nexus review - Analysis of historical sales - Sales tax responsibility calculation - Delivery of compliance options [Get started](https://sales.tax/pricing/?service=nexus_analysis) | [Learn more](https://sales.tax/services/nexus-risk-analysis/) --- ## Registrations — Starting at $300/jurisdiction **Get compliant** If you have nexus and aren't registered, you're at risk. We handle the registration process in any state, for any tax type — start to finish. **What's included:** - Any tax type - Any jurisdiction (US and Canada) - Kickoff consultation and review call - Registration tracker - Verify and set up online account(s) [Get started](https://sales.tax/pricing/?service=registrations) | [Learn more](https://sales.tax/services/registrations-and-vdas/) --- ## Voluntary Disclosure Agreements (VDAs) — Starting at $5,400/jurisdiction **Alleviate registration backlash** If you have years of unfiled returns and unregistered liability behind you, a VDA is often the cleanest path forward. We manage the entire process to minimize what you owe. **What's included:** - Resolve historical liability - Get compliant from start to finish - Limited statutory lookback - Penalty and/or interest waiver - Dedicated expert liaison [Get started](https://sales.tax/pricing/?service=vda) | [Learn more](https://sales.tax/services/registrations-and-vdas/) --- ## What's Next Call — Always Free **Custom insight from an expert** Not sure where you stand or where to start? Book a free call with one of our sales tax experts. No obligation, no sales pitch — just a real conversation about your situation. **What you can cover:** - Get help with sales tax - Roadmap to getting compliant - How to defend a current audit - CPA and bookkeeping support - Not sure where to start? We can help [Schedule your free call](https://sales.tax/whats-next/) | [Learn more](https://sales.tax/what-is-a-whats-next-call/) --- ## No long-term contracts. No catches. Simple. Start getting compliant today. We're here to help, not lock you into unwanted commitments. --- ## Frequently Asked Questions ### Is there a free consultation available? Yes. We offer a free "[What's Next](https://sales.tax/whats-next/)" call — a no-obligation conversation designed to understand your current sales tax situation and point you in the right direction. We'll listen, ask the right questions, and give you a clear picture of your next steps. ### What if I have questions along the way? An expert is always available. You can reach us by email at [info@sales.tax](mailto:info@sales.tax) or via the live chat on our website. We respond quickly and stay with you throughout the process. ### What is your cancellation policy? We prefer 60 days' notice, but we understand that circumstances change. If you need to cancel immediately, contact us and we'll work with you to make the process as smooth as possible. ### How does billing work? All services are invoiced upfront upon signing your work order. For the Sales Tax Management service specifically, billing runs on a monthly cycle: invoices go out around the 25th, and payment is due by the last day of the month. ### How do I add more jurisdictions to my current plan? Our team performs an annual review of your sales data to identify new economic nexus obligations. If you've crossed a threshold in a new state, we'll alert you proactively and guide you through registration. You don't need to monitor this yourself. ### Do you offer pricing customization? Yes, on a case-by-case basis. Every business is different, and we're open to discussing arrangements that fit your specific needs and budget. [Reach out](https://sales.tax/contact-us/) and we'll find something that works. --- *Trusted by 6,000+ companies including Crumbl Cookies, Kodiak Cakes, YESCO, Volcom, and Aptive.* -e --- # FAQ -- The Sales Tax People > Answers to common sales tax questions from the experts at The Sales Tax People. For personalized guidance, book a free What's Next call: https://sales.tax/whats-next --- ## Basics **What is sales tax?** Sales tax is a consumption tax collected by sellers at the point of sale and remitted to the state. It applies to the sale of tangible personal property and, in some states, certain services and digital products. **What is the difference between sales tax and use tax?** Sales tax is collected by the seller at the point of sale and remitted to the state. Use tax is the buyer's obligation -- it applies when you purchase something without paying sales tax and then use it in a state that taxes it. For example, if you buy equipment from an out-of-state vendor who doesn't charge sales tax, your state may expect you to self-report and pay use tax on that purchase. Most businesses don't realize use tax is a thing until an auditor brings it up. **Which states impose sales tax?** 45 states and the District of Columbia impose a state sales tax. The five states without a statewide sales tax are Alaska, Delaware, Montana, New Hampshire, and Oregon -- though some of these allow local sales taxes. Rules vary significantly by state and change frequently. **How often do sales tax laws change?** More often than most people realize. States regularly adjust thresholds, add or remove taxability rules, change filing frequencies, and introduce new marketplace facilitator requirements. Since the Wayfair decision in 2018, the pace of change has accelerated. Tracking this yourself is a full-time job. --- ## Nexus **What is nexus?** Nexus is the qualifying connection between a business and a state that triggers the obligation to collect and remit sales tax in that state. There are two types: physical nexus and economic nexus. **What is physical nexus?** Physical nexus is triggered by a physical presence in a state -- a store, office, warehouse, employees, inventory, or even attending a trade show. Physical nexus was not eliminated by Wayfair; it still exists in every state. **What is economic nexus?** Economic nexus is triggered by sales volume into a state, even without any physical presence. Most states use a threshold of $100,000 in sales or 200 transactions in a calendar year, but rules vary -- some states look at the prior year, some at the current year, some at a rolling 12-month window. **What is South Dakota v. Wayfair, Inc.?** A 2018 U.S. Supreme Court ruling that gave states the right to require out-of-state sellers to collect and remit sales tax even without a physical presence in the state. It established economic nexus as law of the land and fundamentally changed e-commerce compliance. **Does economic nexus apply to services?** Many businesses assume that if they sell services rather than goods, they have no sales tax exposure. That is not always true. Many states tax certain services, and the rules vary significantly. Assuming you're exempt without verifying can be costly. **How do I know if I've triggered nexus in a state?** You need to look at your sales data by state and compare it against each state's economic nexus thresholds. Physical presence -- like employees, inventory, or job site work -- can also create nexus independent of sales volume. Our Nexus Calculator is a starting point: https://sales.tax/resources/nexus-calculator/. A full nexus analysis gives you a definitive picture. **Does physical nexus from a trade show or job site create nexus?** It can. Attending a trade show, sending employees to a job site, or doing installation work in another state can all create physical nexus -- sometimes from a single visit, depending on the state. Construction companies especially need to be careful, as project work in a new state can trigger nexus almost immediately. **If I attend a trade show in another state, do I have nexus there?** Possibly. It depends on the state's rules and the nature and duration of your activity. Some states are more aggressive than others. If you're doing business across state lines, a nexus review before your next project or event is worth the time. **I have inventory stored in an out-of-state warehouse -- does that create nexus?** Yes, almost always. Storing inventory in another state -- whether your own warehouse or a third-party fulfillment center -- is one of the most common and overlooked ways to create physical nexus. This catches a lot of e-commerce sellers and Amazon FBA sellers off guard. **What counts toward my economic nexus threshold -- gross or taxable sales?** It depends on the state. Most states count gross sales toward the threshold -- all sales into that state, whether taxable or not. A handful of states only count taxable sales. Getting this wrong in either direction can mean over-registering or missing a threshold. **What happens if I exceeded a state's threshold last year but not this year?** Most states require you to stay registered and continue filing once you've crossed the threshold, even if your sales drop below it the following year. Some states have provisions for deregistering after a sustained period below the threshold, but the rules vary. You generally cannot just stop filing without formally closing out your registration. **Do returns or refunds count against my economic nexus threshold?** Generally, states look at gross sales before returns and refunds when measuring your threshold. Some states allow net figures, but most do not. Don't assume refunds will save you from a threshold you've already crossed. --- ## Registration and Compliance **Do I need a separate sales tax license for each state?** Yes. Every state administers its own sales tax system, which means you need to register and obtain a license in each state where you have nexus. There is no universal sales tax license. **When do I need to register in a state?** You need to register before you start collecting sales tax in a state -- and you should start collecting as soon as you've triggered nexus. Waiting creates back liability, which is significantly more expensive to resolve than registering proactively. **Is a sales tax return required even if my tax due is zero?** Yes, in most cases. Once you're registered in a state, the state expects to hear from you on your assigned filing frequency -- monthly, quarterly, or annually -- even if the return shows zero dollars due. Failing to file zero returns can result in penalties. **How does filing frequency work?** Filing frequency varies by state and is typically assigned based on your sales volume. It can be monthly, quarterly, or annual. We track all filing schedules for our clients and ensure no deadlines are missed. **What records do I need to keep for sales tax purposes?** You should keep: sales invoices, exemption certificates, records of customer locations, purchase records, and copies of all filed returns. Most states expect you to retain these for at least 3-4 years. Exemption certificates are especially critical -- if you make a tax-exempt sale and can't produce a valid certificate during an audit, you may be on the hook for the tax yourself. **I just received a sales tax notice from a state -- what should I do?** Don't panic, but don't ignore it. A notice can mean a missed filing, an unpaid balance, a registration requirement, or the start of an audit. Read it carefully, note any deadlines, and reach out to a sales tax professional as soon as possible. Most situations are fixable -- but they get harder the longer you wait. --- ## Past Liability and VDAs **What happens if I've been selling for years without collecting sales tax?** This is one of the most common situations we see. The exposure is real but manageable. Depending on how long you've been selling and in which states, you may be looking at back taxes, penalties, and interest. Voluntary Disclosure Agreements (VDAs) can significantly limit your lookback period and waive penalties. The worst thing you can do is keep selling without addressing it. **What is a Voluntary Disclosure Agreement (VDA) and should I use one?** A VDA is a formal agreement between you and a state that allows you to come forward voluntarily to resolve past sales tax liability -- usually in exchange for a limited lookback period (typically 3-4 years instead of the full audit window) and a waiver of penalties. It is one of the most powerful tools available for businesses with past exposure. Not every situation calls for a VDA, and the process requires careful handling to avoid inadvertently creating more exposure than you're resolving. **How far back can a state audit my sales tax history?** The standard lookback period in most states is 3-4 years, but it can go longer -- sometimes indefinitely -- if the state believes there was fraud or if you never registered at all. The clock typically starts from when you should have registered, not when you actually did. A VDA can help cap that window if you act before the state reaches out first. **Can I be penalized for collecting sales tax but not remitting it?** Yes -- and states treat this very seriously. Collecting sales tax from customers and not sending it to the state is considered misappropriation of public funds in many jurisdictions. Penalties can be significant and in some cases assessed personally against individuals, not just the business entity. --- ## Taxability **What products or services are taxable?** Taxability varies widely by state and product or service type. Generally: most tangible personal property is taxable; some services are taxable depending on the state; digital products may or may not be taxable; and certain items like groceries or prescription medications are often exempt. The only reliable way to know is a state-by-state taxability analysis. **Are digital products like software or e-books taxable?** It depends entirely on the state. Some states tax digital products the same as physical goods, some exempt them, and some have specific rules for different categories. SaaS is taxed differently than downloaded software in many states. This is a rapidly evolving area. **Are shipping and handling charges taxable?** Sometimes. Whether shipping is taxable depends on the state, how the charge appears on the invoice, and whether the underlying product is taxable. Some states always tax shipping, some never do, and others only tax it under certain conditions. **What is a resale certificate and how do I get one?** A resale certificate (also called a reseller's permit or exemption certificate) is a document you provide to your supplier authorizing you to purchase goods tax-free because you intend to resell them. Most states issue these as part of the sales tax registration process. Each state has its own certificate format, and vendors are supposed to collect state-specific certificates. **If I paid sales tax when I bought an item that I resell, do I charge sales tax again?** No. When you purchase items specifically to resell, you should be buying them tax-free by providing your vendor with a valid resale certificate. Sales tax is designed as a one-time tax on the end consumer. If you've been paying tax on items you resell, you may be overpaying and eligible for a refund. **How do I handle tax on wholesale or B2B sales?** Sales to businesses that are reselling your product are generally exempt -- but only if you collect a valid exemption or resale certificate from your buyer. Without that documentation, you're technically on the hook for the tax if audited. The burden is on the seller to have valid, signed, and dated certificates on file. **How do I handle sales tax on bundled products and services?** Bundling -- where a taxable product and a nontaxable service are sold together for one price -- is a common source of audit issues. Some states tax the entire bundle if any part is taxable, others require you to break out charges separately, and others apply specific rules based on which component is the "true object" of the sale. There is no universal rule. **Are construction materials taxable -- and what about labor?** This is one of the most nuanced areas of sales tax. In most states, materials permanently incorporated into real property are taxable at the time the contractor purchases them. But rules vary widely: some states tax the final project sale, some tax materials and exempt labor, some exempt certain project types entirely. Labor is often exempt but not always. If you're doing construction or installation work across multiple states, a state-by-state taxability analysis is essential. --- ## Platforms and Software **I sell on Shopify -- does Shopify handle my sales tax for me?** Shopify can calculate and collect sales tax at checkout, but Shopify does not register you in states where you have nexus, file your returns, or remit the tax to states on your behalf. A lot of Shopify sellers think they're covered because the platform is "set up for taxes" and then discover they've been collecting in states where they were never registered -- which creates its own problem. **What if I sell on a platform like Amazon or Etsy?** Amazon, Etsy, and other marketplace facilitators are required by law to collect and remit sales tax on behalf of sellers in most states. However, you may still have registration and filing obligations in states where you have physical nexus, and any sales made outside the marketplace platform are entirely your responsibility to collect and remit. **If a marketplace collects tax on my behalf, do I still need to file a return?** Possibly yes. Even if a marketplace facilitator is collecting and remitting tax on your marketplace sales, many states still require you to file a return -- sometimes even a zero-dollar return -- to stay in good standing. Rules vary by state. **I sell on multiple platforms -- how do I track nexus across all of them?** Your nexus thresholds are cumulative across all channels: your Shopify store, your own website, wholesale orders, and any other sales all count together toward each state's threshold. You need to be aggregating your sales data across every channel to know where you've crossed thresholds. **What is the difference between using sales tax software and hiring The Sales Tax People?** Software like Avalara or TaxJar automates rate calculations and in some cases filing. But software doesn't think. It doesn't know if you've registered in the right states, doesn't catch taxability issues specific to your products, doesn't negotiate with states on back liability, and doesn't pick up the phone when something goes wrong. We work with software tools every day and can help you set them up -- but we pair that automation with real accountants and consultants who can actually solve problems. It's the difference between a tool and a team. **My Shopify store is set up to collect sales tax -- does that mean I'm fully compliant?** No. Collecting is just step one. Full compliance means you're registered in every state where you have nexus, collecting the right amount on the right products, filing returns on time in each state, and remitting what you've collected. Shopify helps with collection. The rest is still your responsibility. **Which sales tax software do you recommend?** The best option depends on your business, volume, and systems. We work with and are a certified partner of Ceretax, and also work alongside Avalara, Vertex, TaxJar, and others. We can help you evaluate and set up the right tool for your situation. --- ## Working With The Sales Tax People **Is there a free consultation available?** Yes. Our "What's Next" call is always free -- no obligation, no sales pitch. We assess your situation, answer your questions, and give you a clear picture of your compliance path. Book at: https://sales.tax/whats-next **How much do your services cost?** Pricing depends on your situation -- the number of states, transaction volume, whether you need back-liability cleanup, and which services you need. Published starting prices: nexus analysis from $3,900; registrations from $300/jurisdiction; VDAs from $5,400/jurisdiction; return management from $600/month. Full pricing: https://sales.tax/pricing **What if I have questions during an engagement?** An expert is always available. You can reach us by email at info@sales.tax or via live chat on the website. We respond quickly and stay with you throughout the process. **What is your cancellation policy?** We prefer 60 days' notice, but we understand that circumstances change. If you need to cancel immediately, contact us and we'll make the process as smooth as possible. **How does billing work?** All services are invoiced upfront upon signing your work order. For the Sales Tax Management service, billing runs monthly: invoices go out around the 25th, and payment is due by the last day of the month. **How do I add more jurisdictions to my return management plan?** Our team performs an annual review of your sales data to identify new economic nexus obligations. If you've crossed a threshold in a new state, we alert you proactively and guide you through registration. You don't need to monitor this yourself. **Do you offer pricing customization?** Yes, on a case-by-case basis. Every business is different, and we're open to discussing arrangements that fit your specific needs. Contact us to discuss: https://sales.tax/contact-us **Do you work with CPAs and accounting firms?** Yes. We serve as the outsourced SALT practice for accounting firms whose clients need specialized sales tax expertise. We work directly with your clients under your direction. More info: https://sales.tax/support/cpas-and-accounting-firms/ **Do you handle Canadian sales tax?** Yes. We cover all jurisdictions in the US and Canada. --- ## Contact and Resources - Free consultation: https://sales.tax/whats-next - Pricing: https://sales.tax/pricing - Nexus Calculator: https://sales.tax/resources/nexus-calculator - All services: https://sales.tax/services - Expert articles: https://sales.tax/expert-articles - Phone: (800) 940-9433 - Email: info@sales.tax