Beware of sales tax

The Sales Tax Mistake That Costs U.S. Businesses Thousands

One of the biggest tax compliance traps for U.S. businesses is sales tax nexus. Selling online? Serving customers in other states? You may owe sales tax—even if you don’t have a physical presence there.

Common mistakes:

• Not tracking economic nexus thresholds (e.g., 200 transactions or $100K in sales).

• Thinking marketplaces handle all tax obligations.

• Assuming services are always non-taxable.

How to avoid it:

• Monitor where your customers are and your total sales volume by state.

• Use sales tax software or consult an accountant familiar with multistate compliance.

• Register and remit sales tax where required to avoid interest and penalties. Learn more via Streamlined Sales Tax Governing Board

Sales tax is no longer just a local issue—it’s a national compliance minefield.