Nexus Discovery & Compliance
Why Nexus Discovery & Compliance Matter
Knowing where your business has sales tax nexus is critical — and increasingly difficult. Economic nexus laws, remote employees, and interstate sales can create obligations long before businesses realize they exist.
At BlancPeak, our CPAs analyze your activities to identify where nexus applies, where registration is required, and where it isn’t. We help you stay compliant without taking on unnecessary administrative burden or exposure.
What's Included
- Comprehensive nexus analysis across all business activities
- Clear guidance on physical and economic nexus thresholds
- Multi-state registration planning and support
- Ongoing monitoring as your operations and sales footprint expand
- CPA-backed strategies to manage and minimize tax exposure
We Help With
- Confusion between physical and economic nexus rules
- Unrecognized nexus from remote employees or inventory locations
- Late, missing, or unnecessary sales tax registrations
- Uncertainty around state-specific filing thresholds
- Exposure to back taxes, penalties, and audit risk
Explore More Sales & Specialized Tax Services
Nexus discovery and compliance are just one area of our specialized tax support. Explore other services in our Sales & Specialized Tax category:
- Sals & Use Tax Compliance — accurate filings across states
- Audit Sampling & Compliance Review — defend your business during audits
- Excise & Property Tax — specialized compliance for industry-specific taxes
- Sales Tax Exemptions — ensure exemptions are valid and defensible
- Indirect Tax Recovery — recover overpaid taxes and boost cash flow
FAQs: Nexus Discovery & Compliance
Sales tax nexus rules vary by state and can be difficult to navigate. These FAQs explain what creates nexus, how physical and economic thresholds apply, how remote activity triggers obligations, the risks of noncompliance, and why ongoing reviews help limit exposure without over-registering.
What exactly is nexus in sales tax?
Nexus is a state’s legal authority to require your business to collect and remit sales tax. It can be established through physical presence — such as offices, warehouses, or employees—or through economic activity, like exceeding sales or transaction thresholds. Because each state defines nexus differently, obligations can vary significantly.
How do economic nexus laws affect online sellers?
Following the Supreme Court’s South Dakota v. Wayfair decision, states can require remote sellers to collect sales tax based solely on sales volume or transaction counts. As a result, online businesses may have filing and registration obligations in multiple states, even without a physical presence.
What happens if my business fails to register in a state where it has nexus?
Failure to register where nexus exists can result in back taxes, penalties, and interest. States may also initiate audits or enforcement actions. Identifying nexus issues early preserves options to reduce exposure — such as voluntary disclosure agreements.
Can a business be registered in too many states?
Yes. Registering where it isn’t required increases compliance costs and administrative burden without benefit. The objective is targeted compliance — registering only where a nexus exists. Our CPAs analyze your activities to ensure accuracy without overextension.
How often should nexus obligations be reviewed?
At a minimum, annually. Reviews should also occur when your business expands into new states, hires remote employees, opens facilities, or experiences significant sales growth. Regular reviews help prevent unexpected liabilities as nexus rules continue to evolve.
