Oklahoma Amends Definitions of Food and Food Ingredients for Sales Tax Exemption

For purposes of Oklahoma’s sales tax exemption for food and food ingredients, the state has clarified the definition of “prepared food” and added definitions for “bottled water” and “food sold with eating utensils provided by the seller.”

Louisiana Denies Retailer Bad Debt Refund for Purchases on Store Cards

The Louisiana Court of Appeals has denied Dillard\’s department store their appeal for a refund of sales tax remitted for purchases customers paid for with store credit cards.

Colorado Imposes New Retail Delivery Fee

Colorado will impose a $0.27 retail delivery fee beginning on July 1, 2022.

Oklahoma Removes State Level Tax On Food Effective August 2024

The governor of Oklahoma has signed a bill that will reduce the state sales tax rate on food and food ingredients to zero percent.

Kansas Reduces Sales and Use Tax Rate on Food and Food Ingredients

Effective January 1, 2024, Kansas’s state sales and use tax rate on food and food ingredients and certain prepared food is reduced to 2%.

Auto Finance Company May Claim Bad Debt Deductions Despite Repossessions Per Indiana Tax Court

An Indiana Tax Court released a ruling upholding a taxpayer’s refund claims. Case 20T-TA-00017 was an appeal brought by the Indiana Finance Financial Corp in relation to the denial of sales tax refund claims in 2017 and 2018.

Tennessee Enacts Permanent Sales Tax Exemption for Firearm Safes and Safety Devices

Effective November 1, 2023, Tennessee has enacted a permanent sales and use tax exemption for firearm safes and safety devices.

Alabama Tax Tribunal Upholds Fraud Penalties in Recordkeeping Case

The Alabama Tax Tribunal ruled against a taxpayer\’s audit appeal and affirmed both the Department of Revenue\’s assessment of additional tax due and the fraud penalty that was assessed on the basis of the taxpayer\’s underreporting of sales and inconsistent records.

Texas Creates Exemption for Family Care and Menstrual Items

On September 1, 2023, Texas SB 379 went into effect, making many medical, menstrual, maternity, and family care items exempt from sales tax.

Dismissal of Illinois Qui Tam Claim Against UK Tailor Affirmed

A Chicago man’s qui tam action claim against a U.K. tailor was dismissed by a circuit court. The dismissal was recently affirmed by an Illinois Appellate Court.

Kansas No Longer Taxes Delivery Charges as of July 1, 2023

Kansas no longer imposes sales tax on delivery charges that are separately stated on the invoice, bill of sale, or other documentation given to the purchaser.

Alabama Lowers Sales Tax Rate on Food Effective September 1, 2023

Effective September 1, 2023, Alabama’s state-level sales and use tax rate on food for home consumption decreases from 4% to 3%.

Maryland Enacts Tax on Rentals of Home Amenities

Effective July 1, 2024, Maryland has enacted legislation that imposes the state’s 6% sales tax on rentals of home amenities such as swimming pools and event spaces.

Minnesota Enacts New Retail Delivery Fee

On May 24, 2023, Minnesota Gov. Tim Walz signed legislation which establishes a retail delivery fee (RDF) for the state of Minnesota.

Colorado Enacts Small Business Exemption for Retail Delivery Fee

On May 4, 2023, Colorado Governor Jared Polis signed legislation that creates an exemption from the state’s 27-cent Retail Delivery Fee (RDF) for businesses with retail sales of $500,000 or less in the prior calendar year.

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.

Mississippi Enacts Exemption for Sales of Coins, Currency and Bullion

Effective July 1, 2023, Mississippi has enacted a sales tax exemption for sales of coins, currency and bullion. “Bullion” means a bar, ingot, or coin: Manufactured, in whole or in part, of gold, silver, platinum, or palladium; That was or…

D.C. Court Affirms the Denial of Refund Claim for Hospital

The District of Columbia Court of Appeals affirmed the denial of George Washington University Hospital’s (GWUH) refund claim for nearly $1,000,000 in sales tax collected between 2016 and 2019.

Wisconsin Determines StubHub is Liable for Sales and Use Tax

The Wisconsin Tax Appeals Commission determined online ticket marketplace StubHub is responsible for collecting and remitting sales tax on secondary tickets for events held in the state.

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.

Taxpayer Doesn’t Meet Definition of Marketplace Facilitator in North Carolina

A North Carolina taxpayer who is an affiliate of original equipment manufacturers (OEMs) does not meet the definition of a “marketplace facilitator” per a private letter ruling from the North Carolina Department of Revenue.

Colorado Implements Single Use Bag Fee and Single Use Plastic Bag Ban

The Colorado General Assembly has enacted House Bill 21-1162, which impacts in-state retailers, including retail food establishments, who provide single use bags to customers at the point of sale. This bill is attempting to significantly reduce the use of single use plastics due to the harm they can have on the environment.

Washington Superior Court Dismisses Case Challenging Tax Collection by Grocery Chains

The Washington Superior Court, King County, has dismissed a class action suit brought against multiple grocery chains. The claim alleged that the grocery stores in question improperly collected tax on transactions that should have qualified as exempt sales of food and food ingredients.

CA Appeals Court Sides with CDTFA And Amazon in Sales Tax Issue

The California Court of Appeal, Second Appellate District released a decision on January 9,2023, confirming the CDTFA had the legal discretion to hold third party sellers responsible for the sales tax due on sales made through Amazon.