As I predicted in my last post, Virginia has added the modern nexus legislation into their current fiscal budget.
SALES AND USE TAX COLLECTIONS FROM OUT-OF-STATE ENTITIES
For purposes of Virginia’s retail sales and use taxes (§ 58.1-600 et seq. of the Code of Virginia), a dealer as defined or described under § 58.1-612 of the Code of Virginia shall be presumed to be soliciting or transacting business by an independent contractor, agent, or other representative, if the dealer enters into an agreement with a resident of the Commonwealth under which the resident, for a commission or other consideration, directly or indirectly refers potential customers, whether by a link on an Internet site or otherwise, to the dealer if the cumulative gross receipts from sales by the dealer to purchasers in the Commonwealth who are referred to the dealer by all residents with this type of agreement with the dealer are in excess of $10,000 during the preceding four quarterly periods.
All affiliates are urged to continue preparing their business model. You also need to follow up with your legislators voicing your opinion. Any affiliate is welcome to contact me for help with this and any issue. Whether you are just starting out or are well established I welcome your contact.
Contact me via the contact page, link in top navigation menu.
Far from over in Virginia!
Link to Virginia Budget
{ 1 comment… read it below or add one }
Hello, I don’t know how I found your blog but I’m sure glad I did! I live in one of the fastest growing counties in the Nation and recently decided to invest my family’s savings (as small as it may have been) into launching an internet based resource for families moving to or living in my town. I’m in the process of having a website designed and within the next month, will start marketing and advertising locally. All too often, BIG companies (regardless of their products’ quality) suffocate smaller ones trying to establish themselves within the same marketplace.
It doesn’t have to be that way and in fact, it shouldn’t. Sometimes, small businesses need a helping hand to gain the necessary exposure for long-lasting success. That’s where my business will come in.
After reading your blog, I’m worried that legislation in Virginia may eventually impact my company’s success as an affiliate advertiser.
Any advice would be greatly appreciated.
{ 1 trackback }