TEXAS: There are three categories of electricity-generating energy: fossil fuels, renewable energy sources and nuclear energy. Fossil fuels, also known as hydrocarbons, include coal, petroleum and natural gas. In 2019, the use of natural gas made up approximately 38 percent of the electricity generated in the U.S., according to an article in the U.S. Energy…
ALASKA: The Alaska Remote Seller Sales Tax Commission has approved its “Remote Seller Sales Tax Code & Common Definitions” that would apply to local municipalities in Alaska that choose to adopt it. The code accommodates the individual rates and exemptions of multiple local jurisdictions within Alaska, with single-level, statewide administration. Under the code, remote sellers and marketplace…
ARKANSAS: A photography service provider (taxpayer) was liable for Arkansas sales and use tax assessed against her because she failed to timely file returns reporting taxable sales. In this matter, the Department of Finance and Administration (department) issued a notice assessing tax, penalty, and interest against the taxpayer as she failed to report taxable sales….
Governments will reexamine a host of state policies coming off an unprecedented year with building budget challenges. Sales tax is one area that will certainly be on the table as legislatures make difficult decisions about taxes and spending. Many states have already made bold moves when it comes to sales tax in 2021. Changes to…
Sales tax obligations regarding software and other technology-related solutions can often come down to location and definition. And the definition is potentially different depending on the location. Four states recently took a closer look at how sales tax applies to technology-related solutions, one of the more confusing industries for complying with sales and use tax requirements….
Data processing is a service performed with a computer using the customer’s data. Entering, storing, manipulating, or retrieving a customer’s data is taxable. But merely using the computer as a tool to help perform a professional service is not taxable. Taxable Services We’ve prepared a partial list of taxable data processing services. This will give…
South Carolina: The South Carolina Department of Revenue issued an information letter revising the effective date for the sales and use taxability of tobacco company payments to retailers, commonly known as buydowns, to July 1, 2021. In a previous Revenue Ruling (20-3), the department had stated that taxability of buydowns would be effective for retail…
AUSTIN, TX – Because of the winter storm and widespread power outages, the Feb. 22 due date for state taxes and fees to be reported and paid will be extended by one week, to March 1, Texas Comptroller Glenn Hegar announced. The due date extension applies to all state taxpayers. It is automatic, and taxpayers…
MISSOURI: A funeral home’s (taxpayer’s) purchase of burial vaults was subject to Missouri sales and use tax because the taxpayer was the end-user of the vaults. Generally, a contractor is the final user and consumer of the materials and supplies used and consumed in fulfilling a construction contract and which become part of a completed…
IOWA: An electric utility company’s (taxpayer’s) credits to its customers for local electricity generation was exempt from Iowa sales and use tax. Generally, if a trade-in transaction meets the requirements of the relevant law, the amount of credit received from the trade-in is exempt from tax. In this matter, the taxpayer provided electricity to its…
