Go Back

We Take Success Personally.

At Weaver, we care about success. But it’s not just the success of our firm or clients that matters to us; it’s the success of our people who make the day-to-day of this business possible. That’s why we’re passionate about bringing together talented individuals and giving them the tools they need to succeed. We lean on each other as members of the Weaver family, understanding that our culture is driven by our collective values, character and efforts. Our goal is to balance both high development with high performance in order to meet the long-term goals of each individual, team and our firm, and every person plays a part.

Weaver

Business Services

Wayfair: “Still Ignoring Sales Nexus” Or “Evolution of”

November 6, 2023
E-commerce
Economic Presence
Sales Nexus
South Dakota
+more
MarketScale

In this Weaver Beyond the Numbers episode, Steven Scarborough, Mayur Naik, and Brandon Hayes review the implications of the Wayfair vs. South Dakota case. As e-commerce continues to dominate the market, understanding the nuances of sales tax and economic presence becomes crucial for businesses.

Key Points:

  • The Wayfair vs. South Dakota case determined that companies can have an economic presence, not just a physical one, obligating them to collect sales tax
  • Companies must be aware of varying state thresholds and definitions of nexus, impacting both sales and filing obligations
  • Businesses can address potential noncompliance through voluntary disclosure agreements with states, often settling penalties and interest

 

The Wayfair vs. South Dakota case marked a significant shift in the perception of businesses regarding their economic presence in a state. No longer is it just about physical presence; the Supreme Court’s ruling emphasized the importance of economic activity. This change has broad implications, especially for businesses operating online. With e-commerce on the rise, understanding these nuances is essential for compliance and avoiding pitfalls.

As Naik explains, “In 2018, the company Wayfair brought a case against the state of South Dakota… It’s no longer mandatory that you only have a physical presence of store location or people. You can now also have an economic presence in our state.” Hayes elaborated on the challenges, stating, “I think where a lot of companies end up getting caught up is that the ones that are educated on the decision believe that economic nexus has replaced physical nexus, and it’s just not true.”

Subscribe and listen to future episodes of Weaver: Beyond the Numbers on Apple Podcasts or Spotify.

©2023

Recent Episodes

data-driven tools
View episode

Leverage Data-Driven Tools and Local SEO for Maximum Search Engine Rankings

As businesses continue to navigate the digital landscape, data-driven tools are more crucial than ever for effective SEO strategies. Understanding and implementing the proper SEO practices can make a significant difference with evolving algorithms and competitive markets. Given that 75% of users never scroll past the first page of search results, this statistic underscores…

facing adversity head-on
View episode

Facing Adversity Head-On: Leadership Insights From Charmeachealle Moore

Welcome to “Through the Storm,” where resilience and facing adversity head-on takes center stage. If you were to look up the word in the dictionary, you might just find a picture of Charmeachealle Moore, known affectionately as Mike Moore. His life story reads like a testament to unwavering determination and perseverance. Mike is a…

View episode

The Power of Self-Compassion in Leadership and Cognitive Diversity Can Transform Workplaces

Mental health and a sense of belonging are critical issues in today’s workplaces. So much that it is essential to practice self-compassion and form a better understanding of cognitive diversity. Leaders today must navigate the complexities of fostering connection and reducing isolation among their teams. Recent studies indicate that 40 percent of employees feel…