Missouri will become the last state with a sales tax to enact economic or “Wayfair” nexus with the passage of S.B. 153/97, imposing a use tax collection requirement for remote sellers. This ends an almost three-year saga started with the landmark Supreme Court South Dakota v. Wayfair Inc. in 2018. Wayfair overturned the “physical presence” requirement for collection of sales tax by remote…
South Carolina: The sale of an optional extended warranty in conjunction with the retail sale of the taxpayer’s medical equipment, is included in gross proceeds of sale for purposes of South Carolina sales tax. However, the sale of an optional extended warranty not in conjunction with the retail sale of equipment, is not taxable. When…
LOUISIANA : A taxpayer was not required to remit Louisiana sales and use tax on its purchase of sodium hydroxide (caustic) because the taxpayer used the caustic as a pollution control device system (PCDS) at its manufacturing facility. Generally, for sales and use tax purposes the term sale at retail does not include the sale…
Texas Exempts Forgiven PPP Loans and Other COVID-19 Related Grants From Franchise Tax Businesses will not have to pay Texas franchise tax on forgiven PPP loan amounts and other COVID-19 related grant proceeds. They may exclude qualifying loan and grant proceeds from total revenue on franchise tax reports originally due on or after January 1,…
MISSOURI: The Supreme Court of Missouri (Court) affirmed the administrative hearing commission’s (commission’s) decision that a taxpayer was properly subject to Missouri sales and use tax on its rentals of portable toilets because the taxpayer failed to prove that the true object of his rentals was the waste removal service and not the toilet itself….
TN: Notice 21-05 Smokeless Nicotine Products Exempt from Tennessee Tobacco Tax Public Chapter 69 (2021), effective March 31, 2021, amends the definitions of “cigarette” and “tobacco products” and adds a new definition of “smokeless nicotine product” to clarify that smokeless nicotine products are not subject to Tennessee tobacco tax. Tennessee Tobacco Tax Tennessee imposes a…
Sales tax is more complicated than ever, especially in a post-Wayfair world. And what’s worse is that everyone who says they’re simplifying sales tax is still leaving the hardest parts – and the liability – up to you. Don’t let sales tax compliance overwhelm you. Make the right decisions for your business so you can…
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…
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…
