Walter R. Calvert

Latest Articles

Venable clients that engage in selling goods and/or services over the internet should evaluate whether the recent Supreme Court decision in South Dakota v. Wayfair will now require them to begin collecting sales and use taxes in states where they have not previously done so. In the Wayfair Case the Court held that a state can require a remote vendor to collect its sales/use tax based merely on “economic nexus” with the state. The prior…
States can now require internet retailers to collect sales taxes even if the retailer has no physical presence in the state. In South Dakota v. Wayfair, the Supreme Court overturned its 1992 decision in Quill Corporation v. North Dakota, which limited a state’s ability to impose its sales tax on an out-of-state retailer. In Quill the Court ruled that only a retailer that had a physical presence in a state by means of employees,…
As states continue their quest to compel online vendors to collect sales and use tax on sales to customers located in the state and to subject such vendors to state income tax, a current trend has been targeting vendors selling via online marketplaces. Some states assert that the presence of inventory held for a vendor or the presence of the marketplace provider/facilitator in a state acting on behalf of a vendor is sufficient nexus or…
It’s one list that a service provider doesn’t want to be on:  the ever growing list of services subject to state sales and use taxes.  Once you join it, the cost of your services to your customers goes up by 4%, 5%, or more, but your business realizes none of the resulting revenue.  Additionally, you’ve got to deal with the costs of compliance with state and local sales tax collection and remittance obligations.  And your…