Monday, June 4, 2012
Nexus news for those shipping tangible personal property to VA eff 1/1/14
VA now has a presumption that a merchant has sufficient activity within Virginia to require it to register for the collection of retail sales and use taxes if any commonly controlled person/entity maintains a distribution center, warehouse, fulfillment center, office, or similar location within Virginia that facilitates the delivery of items to customers of the business. For example, this would apply in a situation where a customer orders from a call center outside if VA (or online) but the merchandise is drop-shipped from or stored in a VA location. Such warehouse/center even if owned by another business will be treated the same as a VA retail location if owned/controlled by merchant or essentially the same stockholders as the merchant.