Economic nexus thresholds by state — what part of this actually needs a professional?
Some of it, yes — and we will say so on the call if that is the honest answer. The parts that are worth paying for are the ones where a missed election, a missed deadline or an unverified threshold costs more than the fee: monitoring requires sales tracked by destination state and tested against each state's own test, with registration and collection starting on the trigger date.
What if I have already filed and got it wrong?
That is a common starting point. We re-derive the position, identify whether an amendment or a disclosure route is the right vehicle, and tell you which one preserves the relief that is still available. The order matters more than the speed.
How long will it take?
It depends on the documents rather than on us. Once the pack is complete most filings turn around inside a fortnight; anything that needs a certificate from a tax authority runs on that authority's timetable, which we tell you at the start rather than at the end.
What creates an economic nexus obligation without a physical presence?
Since the Wayfair decision, states can require a business to register and collect sales tax once its sales into that state cross a threshold the state sets, based purely on sales volume or transaction count rather than any physical location in the state. Each state sets its own threshold and measures it over its own look-back period, so a seller can cross the line in one state well before another.
Do state thresholds count total sales or only taxable sales?
This varies by state. Some measure gross sales including exempt and wholesale transactions, while others count only taxable retail sales toward the threshold, which can put a seller over the line in one state's calculation while remaining under it in another state using a narrower measure, even with identical sales activity.
Does crossing a threshold in one state affect obligations elsewhere?
Not directly. Each state's economic nexus determination stands on its own, so crossing a threshold in one state does not itself create an obligation elsewhere. In practice it often prompts a broader review, since a business growing quickly enough to trip one state's threshold is frequently approaching others as well.
I work remotely from another country for a company back home — who taxes me?
Usually the country you are physically in, because employment income is generally sourced where the work is done, with your residence country taxing it as well if you are resident there and giving credit. Three things follow: your employer may acquire withholding and social security obligations where you sit, a treaty tie-breaker may be needed if both countries call you resident, and a short trip that becomes a long stay can cross a residence threshold nobody was watching. See remote workers and digital nomads.
Does a remote employee create a permanent establishment?
It can. One employee working from home in another country may be enough where the arrangement gives the company a fixed place at its disposal, or where that person habitually concludes contracts. Seniority and function matter more than headcount: a salesperson closing deals is a far greater risk than a developer. The exposure is corporate tax and payroll registration in that country, which is why it is worth testing before the hire rather than after. See PE risk review.
