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.
The Tennessee DOR has added three new FAQs to its website discussing the taxability of pre-recorded videos of online courses.
Colorado has issued a private letter ruling stating that sales of a backup service provided by an information technology provider are not subject to tax.
A taxpayer that installs custom automated home theaters, speakers, lighting, and security systems was properly assessed sales tax on programming and trip charges.
The Arkansas Department of Finance and Administration has issued guidance regarding the taxability of services provided virtually.
Effective retroactively to October 1, 2019, North Carolina has enacted sales and use tax exemptions for certain digital goods.
Effective July 1, 2020, charges for internet access are no longer subject to Ohio sales and use tax.
Effective July 1, 2020, separately stated charges for internet access are no longer subject to Texas sales tax.
Effective July 1, 2020, charges for internet access are no longer subject to South Dakota state and municipal sales tax.
Effective July 1, 2020, North Carolina has expanded its large fulfillment facility exemption.
Effective July 1, 2020, charges for internet access services are no longer subject to Wisconsin sales and use tax.
Effective July 1, 2020, Maryland has enacted a sales and use tax exemption on certain personal property for qualified data centers.
A taxpayer was denied a refund of Indiana sales tax paid on purchases of computer software delivered to Indiana since Indiana does not offer a temporary storage exemption for sales tax.
Chicago modified its application of the lease for re-lease exemption to include certain software and cloud products, effective July 1, 2020.
South Carolina has issued a private letter ruling regarding the application of sales and use tax to a cloud-based software subscription service.
Massachusetts found that a taxpayer’s subscription fees for online software products are subject to sales tax as sales of tangible personal property.
Effective October 22, 2019, sales and installation of computer cabling are exempt from Ohio sales and use tax but the contractor owes use tax on the cost of the materials installed into real property.
Effective January 29, 2020, Utah enacted legislation that repeals previously enacted legislation, S.B. 2001, that included expansion of taxability to specified services, the elimination of sales tax exemptions, the creation of new sales tax exemptions, and more.
Effective July 1, 2019, video streaming services are subject to Kentucky excise tax and gross receipts taxes as taxable “multichannel video programming services.”
Effective January 1, 2020, Chicago’s Personal Property Lease Transaction Tax increases from 5.25% to 7.25% on charges for cloud services.
The purchase of point-of-sale (POS) services by a taxpayer was subject to Washington sales and use tax as taxable digital automated services.
Effective October 1, 2019, D.C. has repealed two sales and use tax exemptions for purchases and sales by Qualified High Technology Companies.
The Washington Department of Revenue has issued a statement regarding the taxability of bitcoin-related activities.
The sales and use tax rate on digital goods and certain software will increase to 6.35%, effective October 1, 2019.
Effective October 1, 2019, North Carolina enacted legislation that expands the applicability of sales tax to digital property.