Administration of Sales & Use Tax

North Carolina Online Retailer Files Complaint Against Accounting Firm Over Failure to Advise on Wayfair Nexus Implications

North Carolina-based online retailer lodged a complaint in North Carolina Business Court against their tax advisory firm.

Washington Provides Guidance on Taxability of Business Assets

The Washington Department of Revenue (DOR) has issued guidance regarding the taxability of sales of business assets.

Virginia Rates for Underpayment or Overpayment of Tax Will Increase for Q4 2023

For the period of October 1, 2023 through December 31, 2023, Virginia’s interest rates for the underpayment or overpayment of tax will increase to 10%.

Cleaning Company Owner Loses Ohio Responsible Party Appeal

In an appeal involving the listed owner (Daniel Biskind) of an Ohio cleaning company (Contract Cleaning LLC) regarding who was the responsible party for tax assessments issued for the period July-September 2016, the Ohio Board of Tax Appeals (BTA) affirmed the Ohio Tax Commissioner’s findings that Biskind was indeed the responsible party of the business.

How To: Determine Sales Tax Sourcing for Services

It’s daunting to figure out where you have sales tax obligations. And when you are a service provider, the responsibility grows even more complicated! If you have physical or economic nexus in the states that tax services across the country,…

Sales Tax Best Practices for “E-Commerce” Businesses

In this blog post, we will explore some essential best practices for e-commerce businesses to successfully handle sales tax.

Louisiana To Shift Oversight of Local Sales Tax Filing System

Effective January 1, 2024, Louisiana has enacted legislation that will shift oversight of the state’s uniform local sales and use tax return and remittance system from the Louisiana Department of Revenue (DOR) to the Louisiana Uniform Local Sales Tax Board (Board).

Your Nexus Queries Answered: Unraveling the Top 3 Areas of Confusion

Ever since the Supreme Court released its decision in South Dakota v. Wayfair five years ago, we have been flooded with questions about economic nexus legislation and how it affects businesses across the country. Now that every state has added economic nexus legislation, every business must ask these questions!

The Rise of Retail Delivery Fees: Unveiling the Impact on Consumers

We are putting the Colorado Retail Delivery Fee center stage and diving into how its story has unfolded thus far.

Indiana Enacts Changes to Tax Exemption for Sales by Nonprofit Organizations

Indiana has enacted legislation that makes changes to the state’s sales tax exemption for sales of tangible personal property by nonprofit organizations.

Michigan Provides Guidance on Taxability of Delivery and Installation Charges

Effective April 26, 2023, delivery and installation charges are excluded from the “sales price” and “purchase price” for purposes of Michigan sales and use tax if conditions are met.

Oklahoma Updates Sales Tax Permit, Special Event, and Tax Lien Regulations

Oklahoma H.B. 2289 has changed provisions in three key areas: obtaining sales tax permits, organizing special events, and tax lien sales.

Key Sales Tax Updates Affecting the Mid-Atlantic

To help those with business operations in the Mid-Atlantic or those who make sales into Mid-Atlantic states keep up, we’re putting a magnifying glass on some of the key recent sales tax changes.

Arkansas Storm Victims Qualify for Tax Relief, Extended Federal Returns Deadline

The Internal Revenue Service (IRS) has issued a news release stating that Arkansas storm victims now have until July 1, 2023 to file various federal individual and business tax returns and make tax payments.

South Dakota Temporarily Lowers Sales Tax Rate

South Dakota is lowering its sales and use tax rate for four years under a bill signed into law by the governor. This house bill is reducing the rate from 4.5% to 4.2%. The reduced rate will be effective from July 1, 2023 – June 30, 2027.

Alabama Extends Filing Deadline for Taxpayers in Declared Disaster Areas

The Alabama Department of Revenue (ALDOR) is offering tax relief to Alabama taxpayers who reside or have a business in federally declared disaster areas in Alabama where damage was caused by severe weather in January.

Use Tax Accrual: Manual and Automated Options to Keep You Compliant

Decisions your suppliers make as they react to changes in where they are required to collect sales tax can greatly impact your relationship with them as a customer.

CA Extends Tax Deadline for 41 Counties

California Governor Gavin Newsom announced that residents and businesses impacted by winter storms in the state have until Oct. 16 to file their taxes for this year.

California Taxpayer Liable for Use Tax on Repair Parts Used for Out-of-State Customers

The California Office of Tax Appeals (OTA) held that a taxpayer is liable for use tax on parts used to repair equipment in California for out-of-state customers.

Pennsylvania High Court Rules on Application of Coupons in Sales Tax Calculations

The Supreme Court of Pennsylvania ruled in favor of the state in a case brought by a customer over a denied refund of overpaid sales tax on orders where coupons were used.

Antimicrobial Agents Did Not Qualify for Wholesale Exemption in Alabama

A taxpayer that operates a poultry processing plant in Alabama was not entitled to a refund of sales and use tax paid on purchases of antimicrobial agents since it failed to prove that the purchases were non-taxable as a “wholesale sale.”

Illinois Amends Administrative Code to Address Specifics of Leveling the Playfield for Out of State Sellers

Effective January 23rd, the Illinois Department of Revenue adopted amendments to their use tax rules to provide guidance in line with the state\’s Leveling the Playing Field for Illinois Retail Act, which originally came into effect on January 1, 2021.

New York Department of Taxation and Finance Refusal to Issue Certificate of Authority Upheld

After reviewing the facts of the case and considering petitions from both sides, the Administrative Law Judge determined the Department of Taxation was within its power to refuse to issue a certificate of authority despite Bar 13, Inc declaring Chapter 11 Bankruptcy because the Department had previously revoked Bar 13’s certificate of authority.

3 Trending 2023 Sales Tax Issues

As a new economic cycle unfolds, some changes are appearing on the horizon. States have been thorough in reassessing their sales tax policies to make positive changes for taxpayers. A lot of bold tax changes were proposed in the 2022 legislative session, and the same is to be expected of 2023.