Maine Revenue Services has issued an information bulletin announcing the application of sales and use tax on certain specified services beginning January 1, 2010. Sales and use tax will now apply to certain amusement, entertainment, and recreations services such as…
Charges for Deliveries Made by Common Carrier Taxable in Alabama
In an administrative law decision, a taxpayer\’s charges for deliveries made by common carrier were determined to be taxable.
Utah Provides Clarification on Sourcing
The Utah State Tax Commission has revised its tax publication related to the sourcing of taxable sales in the state. The publication now clarifies that the retail sale of taxable services in Utah, when the seller sells, leases, or rents…
Missouri Discusses Taxability of Personal Training Fees
Fees paid directly to personal trainers from customers for training services received are not subject to Missouri sales and use tax. However, fees paid by personal trainers to fitness centers for use of the facility are subject to sales and…
Temporary Help Services Not Taxable in Wisconsin
The State of Wisconsin Tax Appeals Commission found that the temporary help services provided by a taxpayer were not subject to Wisconsin sales tax. The taxpayer provides its clients workers with a wide range of skills who work under the…
Separately Stated Minimum Load Charges Exempt in Virginia
A brick manufacturer’s minimum load charges were exempt from Virginia sales and use tax because they were separately-stated. The manufacturer uses a third party trucking company for deliveries to customers. The trucking company charges on a full load basis no…
Alabama Rules on Taxability of Paint Used on Government Aircraft
The Alabama Department of Revenue has ruled on a taxpayer’s claim that paint used on government aircraft was not subject to sales and use tax. The Department of Revenue disagreed with the taxpayer’s claim that the paint used on an…
Washington Sources Intrastate Direct Mail to the Shipping Location
Washington has issued a special notice on the sourcing rule changes for direct mail sellers. Effective July 26, 2009, sellers of direct mail originating in Washington and delivered to another location within Washington collect sales tax based on the address…
Tennessee Court Rules on Exemption for Contract Employees
The Tennessee Court of Appeals addressed a taxpayer’s challenge to the Department of Revenue on an assessment of sales taxes assessed on technical staffing services. The taxpayer is in the business of providing information technology professionals to clients for use…
North Carolina Taxes Were Not Underpaid by Online Travel Companies
The U.S. District Court found that online travel companies (“OTCs”)did not underpay North Carolina local occupancy taxes. It was agreed that they are not hotel operators for purposes of the state sales tax. North Carolina sales tax is only applicable…
Utah Sellers Permitted to Elect Location of Certain Service Transactions
Utah has passed legislation to amend the Sales and Use Tax Act relating to determining the location of the sale, lease, or rental of a service transaction if the receipt of an order and the receipt of tangible personal property…
Nebraska Explains Taxability of Laundries and Dry Cleaners
The Nebraska Department of Revenue has issued an information guide on the taxability of laundry and dry cleaning services. Alteration and repair services are taxable; thus, laundry and dry cleaning service providers who offer these services must hold a Nebraska…
Florida Taxability of Set Up and Delivery Fees
Set up fees charged to a customer by a taxpayer, who sells and rents equipment, were subject to Florida sales and use tax. When a set up fee is included as part of the charge for delivery, the lump sum…
Out-of-State Company’s Sales of Direct Marketing Materials Not Taxable in Virginia
An out-of-state preparer and seller of direct marketing materials was found not liable for Virginia sales and use tax because its customers do not exercise any right or power over the materials in Virginia, and therefore do not use or…
New Mexico Discusses Taxability of Broadcast and Online Television Advertisements
Receipts from a cable and satellite television network’s sales of broadcast time to out-of-state advertisers are deductible from gross receipts for tax purposes. However, gross receipts tax is due on receipts from sales of broadcast time to advertisers located in…
Online Hotel Reservation Fees are Taxable in Indiana
An out-of-state taxpayer that operates an internet website that allows customers to reserve hotel rooms was assessed sales tax on the fees it charged to customer. For the transactions in question, the taxpayer’s customers would reserve a room through the…
Taxability of Electronic Courses and Materials Discussed in Missouri
A company which offers online courses to Missouri residents is not liable for Missouri sales and use taxes because the courses are not considered tangible personal property. Additionally, the courses were considered interactive computer and electronic publishing services which are…
Taxability of Postage, Mailings, and Electronic Data Discussed in Missouri
An out-of-state company performs various services on behalf of its clients including regular mailings and electronic data delivery. In a private letter ruling, the state has indicated that the postage charged for mailings, even when separately-stated on the invoice, is…
Taxability of Online Learning Courses, Products, and Services in New York
New York has issued an advisory opinion discussing the taxability of different services provided by a taxpayer. An online learning course that enables customers to earn educational certificates in various fields through software was deemed taxable as prewritten software. The…
Kansas Taxability of Sightseeing and Entertainment Tours Discussed
The Kansas Department of Revenue issued an opinion letter clarifying the taxability of fees collected for rides or tours.
Indiana Credit Card Processing Taxable
A taxpayer was found liable for sales tax for its purchase of individualized credit cards because it did not meet the requirements of a service transaction with transfers of tangible personal property for a consideration.
Texas Updates Mixed Beverage Gross Receipts Tax Regulation
Texas has updated its mixed beverage gross receipts tax regulation. The updates further explain the taxability of cover charges, door charges, entry fees, admission fees, and gratuities. Several definitions have been amended and/or added. All mandatory gratuities that exceed 20%…
Data Processing Services Related to Insurance Claims Taxable in Texas
A taxpayer, who is a nationwide insurance provider, was denied a refund of taxes paid for data processing services.
Pennsylvania Rental of Advertising Space Taxable
Customer fees paid to a lessor to display advertising materials in display cases and on phone boards are subject to Pennsylvania sales and use tax. The lessor’s charges are subject to tax because the charges are for a license to…