The US Supreme Court recently overruled the long-standing “physical presence rule” that barred states from imposing sales tax collection requirements on certain out-of-state sellers. However, in South Dakota v. Wayfair, Inc., the Court did not clearly state a new standard to replace the physical presence rule. States are responding to the decision in different ways. This Bottom Line videocast, Eversheds Sutherland attorneys Todd Lard and Jessica Eisenmenger discuss:

  • the US Supreme Court’s decision in Wayfair
  • the ambiguity of the new nexus standard
  • three approaches to nexus that states are taking in the wake of the Wayfair decision