Dear everyone,
Daniel BAlogh wrote:
I dare say that as far as IAST can be considered a standard, the "correct" IAST anusvāra is ṃ
Walter Slaje wrote:
 I believe that whether one uses ṃ or ṁ, there will be no undesirable consequences.

The reason I asked the question was because of search engines.
The Searchable Sanskrit Library has a search engine covering multiple collections so all anusvara's (like all other letters in it) need to follow the same convention (either overdot or underdot) .  But it seems that since all the collections I've seen use m underdot thats been chosen as the de facto standard. 

Thanks,
Harry Spier