ERP Software for American Businesses

Since the Supreme Court's 2018 South Dakota v. Wayfair decision, businesses can trigger sales tax collection obligations through economic nexus, meaning they must collect tax in states where they exceed certain sales thresholds even without a physical presence. Most states set this threshold at $100,000 in annual sales or 200 transactions, though several states (including Alaska and Utah as of 2025) have eliminated the transaction count and rely solely on sales volume. Yukti tracks your sales by state in real time and alerts you when you are approaching nexus thresholds so you can register before you are out of compliance.

US GAAP (Generally Accepted Accounting Principles) governs financial reporting for American businesses. Unlike IFRS used in most other countries, GAAP has specific standards for revenue recognition (ASC 606), lease accounting (ASC 842), and credit losses (ASC 326) that require detailed subledger tracking and disclosure preparation. Yukti includes a US GAAP-compliant chart of accounts and supports the multi-element revenue recognition arrangements common in software, manufacturing, and professional services.

Federal obligations include income tax withholding, Social Security and Medicare (FICA) taxes, and federal unemployment tax (FUTA). Each state adds its own income tax withholding (except states with no income tax), state unemployment insurance (SUI), and sometimes disability insurance or paid family leave contributions.

1099 reporting for independent contractors, sales tax exemption certificate management, and use tax self-assessment for untaxed purchases round out the compliance requirements that Yukti handles for US businesses.