Tax Publications

Reduce Your Inventory Taxes with Freeport Exemptions

Posted on March 07, 2019. Category: Tax Publications

In many localities across the US, moveable assets owned by a business are designated as tangible business personal property and taxed annually by the jurisdiction they are located in. This tax is known as the Business Personal Property Tax, and the type of assets considered as business personal property include, but are not limited to, furniture, tools, signage, equipment and inventory (although these items can be defined differently by each state, county or city.) If this type of property is owned or leased, a business will be required to file a return each year to report the value of these... Read More

New York Takes a Bold Approach to Economic Nexus

Posted on March 07, 2019. Category: Tax Publications

The Department of Taxation and Finance for the state of New York amended its Sales Tax registration requirements as of January 1 for remote sellers within the state in response to the US Supreme Court case South Dakota vs. Wayfair. The new registration requirements take effect immediately, making NY the first state not to establish an enforcement grace period for their new nexus parameters.Remote sellers with no physical presence in the state are now required to register as vendors in New York if they meet both of the following criteria:1)    The Seller made more than $300,000 in tangible... Read More

Puerto Rico Sales and Use Tax Collection

Posted on March 04, 2019. Category: Tax Publications

Since the Supreme Court decision on the South Dakota vs. Wayfair case, we’ve noticed many states reviewing the way economic nexus can be established with out of state retailers. This decision has encouraged many states to start legislation to take advantage of the benefits of this new ruling. Others, like the US territory of Puerto Rico, have seen the ruling as an ally on their quest to collect sales and use tax though online retailers.Puerto Rico started their online tax collecting endeavor with the establishment of Law #1-2011 on January 31, 2011 named Internal Revenue Code for a New... Read More

Utah Sales and Use Tax Nexus Update

Posted on January 16, 2019. Category: Tax Publications

Utah’s State Tax Commission updated their sales and use tax publication as to what constitutes nexus in the state. The update includes the amendment to the definition of nexus. To have nexus in Utah, a business has established physical or economic presence in the state or is related to a business with a physical presence in the state.The sales and use tax is a transaction tax, which means that the transaction is the one being taxed rather than the actual goods and/or services. The tax is also that of a trust fund, and the seller is... Read More

2019 Florida Communication Service Tax Rate Changes

Posted on January 05, 2019. Category: Tax Publications

As of January 1, 2019, there is a new rate change for some Florida areas in communication service tax for which Florida’s Department of Revenue issued a rate change. The total local Communication Service Tax (CST) rate for Marco Island has decreased to 3.9% where it was previously 5.22% which is a 1.32% decrease from the previous rate, a major area for communication service tax. A new 5.22% local tax will be imposed on Indiantown located in Martin County. This is a new rate for Indiantown, so they will have to adjust to an increase in communication service tax.CST is a tax imposed... Read More

Successfully Qualify Organized Camps for Sales Tax Exemptions

Posted on August 24, 2018. Category: Tax Publications

In July 2018, the California Department of Tax and Fee Administration (CDTFA) reissued Publication 127, Organized Camps. The state of California defines “Organized Camps” as traditional camps that offer outdoor group living experiences such as camps operated by the YMCA and the Boy Scouts of America.Organized camps sell meals and other tangible personal property sold to campers, staff, and guests. Camps are required to hold seller’s permits and report tax to the California Department of Tax and Fee Administration.Generally, tax applies to sales of tangible personal property and meals served at camps. However, Sales and Use... Read More

Back to School Florida Sales Tax Holiday 2018

Posted on August 01, 2018. Category: Tax Publications

The State of Florida Department of Revenue has issued a Tax Information Publication (TIP #18A01-07) regarding its 2018 Back-to-School Sales Tax Holiday, which begins Friday, August 3, 2018 and runs through Sunday, August 5, 2018. Passed by the Florida Legislature and signed into law by Governor Rick Scott, the sales tax holiday temporarily removes from taxation certain qualifying items purchased during the holiday period.Specifically, most school supplies priced at $15 or less per item and clothing, footwear, and listed accessories selling for $60 or less per item are included in the exemption from tax. Clothing is defined as “any article of wearing apparel including... Read More

South Carolina Enacts Exemption for Motorsports Entertainment Facilities

Posted on July 20, 2018. Category: Tax Publications

On July 2, 2018, South Carolina enacted a sales and use tax exemption for the construction or improvement of motorsports entertainment complexes by qualifying companies.The exemption applies to building materials, supplies, fixtures, and equipment used for the construction, repair, or improvement of a motorsports entertainment complex. To claim the exemption, a qualifying company must first apply to the Department of Revenue. Applications will be approved if they include a plan to make a capital investment of at least $10,000,000 on a motorsports entertainment complex in South Carolina within five years. Upon approval, applicants will get an exemption certificate.After five years, a... Read More

Economic Nexus in Tax Exempt States

Posted on July 12, 2018. Category: Tax Publications

On June 21, 2018, the U.S. Supreme Court issued a decision in South Dakota v. Wayfair abandoning the physical presence standard for state sales and use tax nexus as set by Quill v. North Dakota and National Bellas Hess v. Department of Revenue of III. This decision allows states to impose sales and use tax collection and remittance duties on remote or online sellers who have an economic presence in a state, set by a dollar or transaction threshold for sales delivered into the state. The ruling can create further taxation of e-commerce in all states. One by one, states are... Read More

Supreme Court Decision Overrules Quill and Rules in Favor of South Dakota

Posted on June 21, 2018. Category: Tax Publications

Landmark Case DecidedOn April 17, 2018, the U.S. Supreme Court heard oral arguments in the case of South Dakota v. Wayfair, Inc. et al. on the topic of nexus, physical or economic presence. Today, June 21, 2018, the U.S. Supreme Court has issued its decision in this landmark case that will revolutionize the sales tax world with its impact. The U.S. Supreme Court in a 5-4 decision issued its opinion that the decision of the South Dakota Supreme Court  should be vacated and remanded thereby overturning the cornerstone Quill case which had required a seller to have physical presence... Read More

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