Nexus Opportunities

Defensively, your tax team wants to avoid pitfalls associated with nexus. On the other hand, understanding nexus can open the door for opportunities such as Voluntary Disclosure Agreements or amnesty.


I have determined that I have nexus in additional states, now what do I do?

Gary Bingel:

The first thing I would do is go through and try and quantify your exposure so whether it's income tax or sales tax you want to go through and get some level at a very high level idea of how much is at stake, is it five thousand or five hundred thousand. So I would go through, do that determination, that also helps if you've got several states it will help you key in on which ones you need to focus on. It may be very time-consuming and costly to pursue remedial measures in ten or fifteen states but maybe if most of that liability or exposure is only in two or three states you want to address those first for several reasons.

Gary Bingel's expertise focuses on state and local income taxation, and sales and use tax consulting. He has significant experience serving clients in the manufacturing, retail, pharmaceutical, biotechnology, technology and service industries.

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More Videos in This Series
Risks of Apportionment

Apportionment issues present challenges and opportunities. Proper planning can help to manage your overall tax liabilities, and knowledge of these issues can help mitigate potential exposures and combat aggressive taxing authorities on audit.

Apportionment Opportunities

In this Apportionment overview, Gary Bingel discusses challenges and opportunities and how planning can help manage overall tax liabilities, and knowledge can help mitigate potential exposures and combat aggressive taxing authorities on audit.

Apportionment Overview

Apportionment is the manner in which income is divided between various taxing jurisdictions. A number of states have moved to receipts receiving more emphasis. Our video overview sets the stage for our pitfalls, risks and opportunities discussions.

Nexus Pitfalls

A major nexus pitfall includes unpaid taxes, uncollected sales tax and flow-through entity issues are sometimes missed. Avoiding sticky situations requires an understanding of what creates nexus for different taxes, and in different jurisdictions.

Nexus Overview

In this Nexus overview, Gary Bingel discusses how Nexus varies state by state, the contacts required to generate taxes, "physical presence" and other key focus areas including remote employees, and new sourcing rules among others.