article thumbnail

New Mexico Lawsuit Sparks Marijuana Business Tax Debate

PYMNTS

Paying business taxes is a key source of friction for many legal marijuana companies in the nation, particularly for companies that operate on a cash-only basis. A lawsuit in New Mexico is reigniting the debate over marijuana business taxes, only this time, the controversy surrounds how to classify these companies under state tax code.

article thumbnail

Sales tax and Marketplaces: Who owns the responsibility?

TaxConnex

TikTok: As a marketplace facilitator, TikTok may be congressionally embattled but is legally required to calculate, charge and collect applicable sales taxes on all sales made through its retail arm, TikTok Shop, which enables product discovery, checkout and post-payment activities from within the TikTok app.

Sales 215
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

The Benefits of Delayed Business Filings

CPA Practice

Your clients may want to delay the incorporation process until the new year for several good reasons. A delay allows business owners to specify a future effective date on their registration forms, granting them control over when their company officially becomes a legal entity. Let’s look at both options.

article thumbnail

5 Common Sales Tax Mistakes That Can Put You At Risk for Non-Compliance

TaxConnex

SaaS for example is subject to sales tax in many states and many services are taxable in states like Hawaii, South Dakota, and New Mexico. For tax purposes, it is the jurisdiction (state, county and city) that has the legal authority to tax a transaction. If your business sells?software software or software-as-a-service?(SaaS),

Sales 168
article thumbnail

On Event of 250th Anniversary of Boston Tea Party, U.S. Tea Merchants and Small Businesses Find Taxes too Complex

CPA Practice

As a result, 76% of tea merchants would urge the government to consider ways to reduce sales tax complexity with 42% considering lobbying decision makers and half (50%) even contemplating a legal challenge. As an alternative, 90% would look to reduce the burden of complexity with automation or AI.

Tax 115
article thumbnail

$1.5 Billion in Unclaimed Tax Refunds from 2019 Set to Expire in July 2023, Says IRS

CPA Practice

27, 2023, providing legal guidance on claims made by the postponed deadline. But the three-year window for 2019 unfiled returns was postponed to July 17, 2023, due to the COVID-19 pandemic emergency. The IRS issued Notice 2023-21 on Feb. The IRS estimates the midpoint for the potential unclaimed refunds for 2019 to be $893.

article thumbnail

$1.5 Billion in Refunds From 2019 Remain Unclaimed, IRS Says

CPA Practice

The IRS issued Notice 2023-21 last February that provides legal guidance on claims made by the postponed deadline. But the three-year window for 2019 unfiled returns was postponed to July 17, 2023, because of the COVID-19 pandemic.