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News & Tips

Here you can read up on significant developments in the world of sales and use tax. Find the latest legislative updates and helpful tips to keep you in compliance across all 50 states. You can filter news items by topic and/or a jurisdiction of interest.

Maryland’s New Tech Tax Targets Digital Services

The Budget Reconciliation and Financing Act of 2025 (House Bill 352) was signed by the Maryland Governor on May 20, 2025. This bill builds on the state’s 2021 expansion of the digital goods and services tax, imposing a 3% sales tax on a broad range of data and information technology services.

Indiana Enacts Tax Amnesty Program

Indiana’s Department of Revenue will offer a limited‑time amnesty program for unpaid state tax liabilities due before January 1, 2023 — with penalties and interest waived. Find out who qualifies and how to participate before the window closes.

Yetter Consulting Services, Inc. Named to Inc.’s 2026 Best Workplaces List

Yetter Consulting Services has been named to Inc.\’s 2026 Best Workplaces — recognized for a values-driven culture in its 30th year.

Colorado Increases Retail Delivery Fee Rate, Effective July 1, 2026

The Colorado Department of Revenue recently reviewed the Retail Delivery Fee (RDF) for the upcoming fiscal year and increased it from $0.28 to $0.31, effective July 1, 2026. This revision is meant to adjust for inflation and ensure the revenue…

Colorado Enacts Exemption for Sales by Destination Management Companies

Colorado has enacted a sales and use tax exemption for destination management companies (DMCs) under S.B. 128, effective July 1, 2027. See which services qualify.

Utah Expands Digital Tax Base with New Targeted Advertising Tax

Utah enacted a new tax on targeted advertising, applying an annual levy tied to the state sales tax rate on qualifying ad revenue attributed to Utah users. The law applies to certain large advertising businesses and is effective for tax years beginning on or after Jan. 1, 2027.

Failure to Remit Collected Sales Tax Results in Extended Statute and Penalty for CA Business

The California Office of Tax Appeals upheld a sales tax assessment against a business that underreported taxable sales and failed to remit tax reimbursement collected from customers. The case confirms that fraud can extend the statute of limitations beyond three years and support a 40% penalty for failure to remit collected tax.

Alabama Approves Change to Sales Tax Rules for Credit Card Fees

Alabama approved a change to its sales and use tax rules so credit card transaction fees added to a purchase will be excluded from the taxable sales price starting Sept. 1, 2026. Learn what changes for retailers, invoices, and compliance.

Mississippi Extends Sales Tax Exemption for Health Care Industry Facilities

Mississippi has extended the sales tax exemption for materials, machinery, and equipment used to construct, expand, or improve qualifying health care industry facilities under the Health Care Industry Zone Act. Learn what the extension covers and how it affects eligible projects.

Utah Approves Sales Tax Breaks to Support Public Transit Construction

Utah provides a sales tax exemption for construction materials sold to public transit districts and, in qualifying cases, to subcontractors when the property is clearly identified and becomes part of transit-owned real property. Learn what qualifies and how the rules support public transit construction projects.

Amazon Inventory Triggers California Tax Bill for Online Seller

A recent decision by the California Office of Tax Appeals highlights a growing issue for online sellers that simply storing products in a state, even without a physical office, can create unexpected tax obligations.

Louisiana Launches New Combined Sales Tax Filing System

Louisiana has launched a new Combined State and Local Sales Tax Return through Parish E-File, allowing businesses to file one uniform return for state and parish sales and use tax. Learn when it applies, what changes for filing frequency, and key compliance issues businesses should review.

Michigan Court Clarifies Resale Exemption

A Michigan court decision clarifies how the resale exemption applies when property is purchased for resale but used temporarily before sale. The ruling offers important guidance for dealers, resellers, and businesses defending sales or use tax assessments.

North Dakota Clarifies Sales Tax Rules for Native American Transactions

North Dakota guidance explains when sales to enrolled Native Americans on a reservation are exempt, when non-Native Americans retailers must still collect tax, and how use tax can apply after goods leave the reservation. It also notes that tribal-state agreements can override the default rules.

Michigan Court Reinforces Strict Invoice Requirements for Labor Exemptions

A Michigan Court of Appeals decision confirms that businesses claiming sales tax exemptions for labor must properly itemize exempt labor charges on invoices and keep adequate records. The ruling highlights heightened audit risk when documentation is incomplete or invoice detail is missing.

Missouri Clarifies Sales Tax Treatment for Ice Sold in Vending Machines

A Missouri Department of Revenue letter ruling explains how bulk and bagged ice sold through vending machines is taxed, including the special vending-machine sales tax basis and sourcing rules. Learn what ice sellers and vending operators need to know.

Texas Court Rules Reusable Chemical Containers are Tax Exempt in Manufacturing

A Texas appeals court held that reusable chemical containers, plus related cleaning, delivery, and pickup services, can qualify for the manufacturing exemption from sales and use tax. The ruling offers important guidance for manufacturers using returnable containers in production and distribution.

Kentucky Removes 200 Transaction Count from Nexus Consideration

Effective August 1, 2026, the Kentucky nexus threshold will change from either 200 transactions or $100,000 in gross sales to only $100,000 in gross sales.

Utah Enacts New 2% Excise Tax on Digital Content

Utah has enacted a new 2% sales‑based excise tax imposed on the sales price of certain digital transactions.

Illinois Lease Tax Change Raises Concerns Over Double Taxation

Illinois’ new tax on lease receipts took effect Jan. 1, 2025, but the law does not provide transition relief for property already taxed when purchased for lease. That creates potential double taxation on pre-2025 lease contracts and raises major concerns for lessors and lessees.

Alabama to Temporarily Eliminate State Sales Tax on Groceries

Starting May 1 through June 30, 2026, Alabama will temporarily remove the state sales tax on most food items. The temporary tax break comes as part of Act 2026-604, which removes the state sales and use tax on qualifying food…

Utah Enacts Sales Tax Exemption for Sales of Food and Food Ingredients or Prepared Food by Home Cooks

Effective July 1, 2026, Utah has enacted a state sales tax exemption for sales of food and food ingredients or prepared food sold by a home cook, including home food products sold at a direct-to-sale farmers market or direct-to-sale location.…

Colorado Amends Rules for Sales Tax Return Filing Frequency Basis

Colorado has amended its sales tax filing-frequency rules, including updated thresholds that allow some retailers collecting less tax each month to file less often. Learn what changed, when the new rules apply, and how the update affects monthly, quarterly, and annual filers.

South Carolina Holds that Amazon Owes Tax on Pre-Wayfair Third Party Sales

A judge has held that Amazon owes uncollected taxes, penalties, and interest on third-party sales made pre-Wayfair.