Nexus is a connection between South Carolina and out-of-state businesses that have conducted business within South Carolina and not reported that income to the state.

The South Carolina Department of Revenue (SCDOR) allows the business to come forward under the Voluntary Disclosure Program (VDA). Voluntary Disclosure allows unregistered taxpayers to participate anonymously, without penalties, and with a limited lookback period of three years.

 

Out-of-State Business and Nexus FAQs

For Sales Tax purposes, a taxpayer that has a physical presence in the state has Nexus.

Out-of-state retailers (remote sellers) that have no physical presence in South Carolina may have Nexus if they meet certain economic thresholds. 

  • Learn more about Nexus for remote sellers from the South Carolina Department of Revenue.

Nexus is applicable to only companies that are incorporated outside of South Carolina. 

It depends on the activity that the employee is doing within South Carolina. 

Revenue Rulings: