Here is the latest report from Larry Kavanagh (link).

In September 2013, Larry Kavanagh and Al Bessin published “The Real Word Challenges in Collecting Multi-State Sales Tax for Mid-Market Online and Catalog Retailers,” http://truesimplification.org/wp-content/uploads/Final_TruST-COI-Paper-.pdf, a study which showed the very significant set-up and integration costs, as well as ongoing annual expenses, of complying with the complex system of sales and use taxes in the United States.  TruST has learned that in a new report, filed with the Alabama Tax Tribunal in January 2018, Kavanagh has expanded upon his findings that small and medium sized retailers will incur between $80,000 and $270,000 in initial costs, and an additional $57,500 to $260,000 annually, if they are required to comply with the sales and use tax laws of every state.

In his new expert report, Kavanagh shows that “plug and play” sales tax compliance software is a myth.  He explains in detail the many onerous activities retailers would be required to undertake to attempt multi-state compliance and the many pitfalls they will encounter.  TruST has obtained a copy of Kavanagh’s report and has made it available here: https://truesimplification.org/wp-content/uploads/2017-08-29-Kavanagh-Report.pdf