Nexus Implication for Procurement Processes

It has been six years since the landmark U.S Supreme Court decision of South Dakota v Wayfair. This decision changed what activities create nexus for out of state businesses from strictly a physical presence standard to now include economic presence.

Discussions related to nexus typically focus on the activities of the seller. However, where a company has nexus also has implications on its own purchase activities. Not only is it important to understand where a company has nexus to know where it might owe consumer’s use tax, it is also important to understand where its suppliers have nexus. Decisions your suppliers make as they react to changes in where they are required to collect sales tax can greatly impact your relationship with them as a customer. Have all your suppliers started collecting tax? Are they doing it correctly? Can you trust what they are doing?

Join this session to hear the latest on the state nexus rules as well as what types of purchase may be subject to use tax due to a broad nexus footprint of your company. We’ll also talk about the key things accounts payable departments should be check on your supplier invoices related to sales tax to make sure you are paying the correct amount of tax due.

Diane Yetter
President, YETTER Tax | Sales Tax Institute

Diane L. Yetter is the “Sales Tax Nerd®” as well as a strategist, advisor, speaker, and author in the field of sales and use tax.

She is president of YETTER Tax, a sales tax consulting and tax technology firm. She is also the founder of The Sales Tax Institute, which offers live and online courses to educate business professionals about sales and use tax.  Prior to founding the company in 1996, Diane was a tax professional for Arthur Andersen, Quaker Oats, and the Kansas Department of Revenue.

Diane is a member of many tax organizations and is frequently asked to present to industry groups concerning sales and use tax issues on a local, state, and national level. Diane was invited to testify before the U.S. Senate Finance Committee regarding the impact of the Wayfair decision on small businesses.  As an author, Diane has published three books and numerous articles concerning sales and use tax issues. She also is the author of the US Sales Tax Chapter for the IBFD VAT Worldwide Research Database.  Diane was named in Accounting Today’s 100 Most Influential People in Accounting eight times between 2011 and 2022. As an entrepreneur, she was honored as Woman Business Owner of the Year 2020 by the National Association of Women Business Owners (NAWBO) Chicago Chapter. Her Twitter handle, @SalesTaxInst has been one of Forbes’s Top 100 Tax Twitter Handles and @YetterTax is among the Accounting social media leaders.  She also sits on the Avalara Accounting Meta Influencers Roundtable.

Grace Chlosta
Content Manager, IOFM

Grace Chlosta joined the Institute of Finance & Management (IOFM) in 2022 in a new role for the team as the Content Manager. She is responsible for the planning, organization, development, and implementation of all the content for IOFM’s digital products and (virtual and in-person) events. Grace is committed to ensuring that IOFM’s content stays timely, relevant, and actionable for all financial operations professionals, and works closely with a team of content developers, industry leaders, and subject matter experts to guarantee this happens.