Pub. 1 Issue 2

13 immediately, we still urge suppliers to be proactive. More compliance obligations will require more resources. For instance, auto suppliers will need to think about obtain- ing and maintaining exemption certificates in more juris- dictions to avoid excessive tax exposure. Auto suppliers will also have to think about when they should start charging and remitting taxes and if they need to obtain or update current sales tax software. Additionally, dealerships operating at or near the border of their state or selling cars online should also heed this ruling. Each state will have its own set of rules with which they need to comply. Looking Forward While states aren’t required to collect tax from out of state retailers, many are expected to follow South Dakota’s lead. Some states have passed economic nexus standards that are already in effect or will take effect within the next year. But until Congress issues guidance or legislation, other states are left to navigate their course of action. The Multistate Tax Commission (MTC) negotiated a special program for online sellers to resolve prior sales tax liability. This program was designed for online sellers with sales and income tax obligations from previous unpaid taxes in 25 different states. The program, which ran from August 17, 2017 to November 1, 2017, has expired. If you missed out on this program and would like to evaluate your options, contact us today. John R. Comunale, CPA is Senior Vice President at Councilor, Buchanan & Mitchell,P.C. (CBM)andservesaschairofCBM’sAutomotive IndustryDealership Services. He has more than 25 years in public accounting serving numerous businesses in the Washington, D.C. Metropolitan Area and Mid-Atlantic region. John has handled large and complex dealer groups, providing them with consolidated financial reporting and taxation, and multi-state tax services. He has worked on dealership engagements that represent most manufacturers. He also lecturesandprovides trainingsonvarioussubjects includingbusiness taxes, accounting, fraud, and operational issues. John provides businesses and their owners with audit, accounting, tax and consulting services. He has developed extensive experience in servicing a wide variety of other industries, including construction contractors, real estate developers and operators. Contact John at 301.986.0600 or via email at jcomunale@cbmcpa.com . Follow this link to find out which states have passed legislation: https://www.salestaxinstitute.com/resources/remote-seller-nexus-chart