5 Myths About Economic Nexus
Many businesses are operating under outdated nexus assumptions without fully accounting for economic nexus.
As companies grow, those assumptions quietly create compliance risk. Thresholds vary by state. Obligations differ by channel.
Marketplace collection does not eliminate registration, filing, or ongoing monitoring. What appears “handled” often is not.
Economic nexus is not a software setting or a one-time analysis. It requires judgment and ongoing oversight as revenue models and distribution channels evolve.
If your growth strategy includes online sales, marketplace facilitators, or multi-state expansion, it may be time to reassess the assumptions guiding your tax posture. To discuss how economic nexus applies to your business as it grows, please reach out to our team at Davis Davis & Harmon LLC.
About Davis Davis & Harmon LLC – Sales Tax Experts: Headquartered in Dallas, Texas, Davis Davis & Harmon LLC – Sales Tax Experts specializes in sales/use tax refund recovery and audit defense. Our team of consultants is comprised of former Big 4 sales tax consultants and state sales tax auditors. Each of our consultants has 15 to 20 years of experience, providing our clients with access to a highly specialized team of sales/use tax professionals. At Davis Davis & Harmon, LLC, we are committed to maintaining the highest standards in our talent pool. We work hard to meet our clients’ needs by ensuring that you view our firm as an extension of your company and a member of your team.