How to Respond to Sales Tax Notices

TaxConnex

You may think your business is in full compliance with your sales tax obligations nationwide – and you may well be – but America’s 10,000-plus sales tax jurisdictions love to send notices. Notices are a standard part of managing sales tax. sales tax compliance sales tax

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Sales Tax Complexity Snapshot: Chicago

TaxConnex

Sales tax is complex for any business selling into multiple states. To further complicate this, Chicago does not apply sales tax to SaaS rather they apply a personal property lease transaction tax which is currently 9%. sales tax compliance sales tax filing

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Name Your Sales Tax Data Files for the Long Haul

TaxConnex

When we talk with businesses about sales tax compliance, we eventually get to a discussion about preparing and filing returns. The file that this designates is anyone’s guess – until you add just four additional letters: “SALES­_MAINE”. sales tax compliance sales tax

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Excise Tax versus Sales Tax

TaxConnex

Soon after you start dealing with states’ sales tax, you’re going to also run into another term: excise tax. And is it different from sales tax? sales tax), for instance, is a business privilege tax on the gross receipts of virtually any economic activity carried on in the state.

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Be an Odd Duck: Work on, Not in Your Public Accounting Practice

Speaker: Tom Bowman, CPA of Bowman & Company

It is possible to run an Accounting Firm and never do tax returns or financial statements! Tom Bowman, Owner of Bowman & Company, CPA, PC shares his journey and 10 step process for going from Technician to Business Owner.

Top Skills Needed to Manage Sales Tax

TaxConnex

The majority of businesses still manage their sales tax obligations with internal staff, but do they have what it takes to manage sales tax effectively? Most businesses, especially smaller ones, don’t have or can’t afford a full sales tax department in these days of tight resources.

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Sales Tax for Subscription Boxes

TaxConnex

Niche products lead the industry, a fifth of total sales. With booming sales across the country, businesses need to focus on if and how these subscription boxes are taxed. How is sales tax managed for this growing industry? How will you charge sales tax?

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NOMAD States: The Latest on Sales Tax

TaxConnex

NOMAD and sales tax – I’m sure you’ve heard it before. When it relates to sales tax, the NOMAD states refer to the five American states without a statewide sales tax: New Hampshire, Oregon, Montana, Alaska, and Delaware. Mike Dunleavy has said he’d support a statewide sales tax.

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Monthly State Sales and Use Tax Update

TaxConnex

There’s always something changing in the world of tax, especially sales tax. There are currently five states with no state-level sales tax. Alaska has long heard rumblings of a statewide sales tax. The gross sales tax take finished 15.9%

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Sales Tax Automation Mistakes

TaxConnex

If your business has an obligation to collect and remit sales tax, then you know how complex the process can be. Automating part or all of the sales tax process is sometimes necessary to maintain compliance. Let’s first look at the overall sales tax process.

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What's New in Sales and Use Tax?

TaxConnex

There’s always something changing in the world of tax, especially sales tax. Online sales dipped in May, yet sales tax revenues seem to remain robust thanks in part to online sales. 1 and will source online sales to their destination.

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Understanding Your Sales Tax Obligations As an E-Commerce Business – a Checklist

TaxConnex

Sales and use tax generally applies to the sale or use of tangible personal property (TPP) and certain services. For most brick-and-mortar retail stores, sales tax is relatively simple, but what happens when you open an online store? How are you calculating sales tax?

Preparing Your Business for Sales Tax Holidays

TaxConnex

Many states use sales tax holidays to waive or reduce sales tax on various items. Location, location, location is the rule when it comes to sales tax holidays. You may or may not have to participate in a sales tax holiday in some states. your sales tax obligations?and

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Sales Tax and Valentine's Day

TaxConnex

And it might land right on your company’s bottom line after sales and use tax obligations. If your business sells popular Valentine’s Day items online, you should know a few rules related to sales tax and taxability. for all your sales tax compliance needs.

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Unexpected Growth Can Mean Sales Tax Obligations

TaxConnex

But don’t forget that success that comes from selling into more states can also expand your sales tax burdens. Businesses that sell into multiple states or jurisdictions have to pay attention to sales tax thresholds, and it’s not a one-time project. to collect sales tax because?they’ve?reached

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Marketplace Facilitators Create Their Own Sales Tax Obligations

TaxConnex

In the world of sales tax, they’re major marketplace facilitators. A marketplace facilitator is a platform where third-party sellers of any size and geographic area can facilitate retail sales, including the collection/processing of payments, in exchange for compensation.

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The Growth of E-Commerce and Your Sales Tax Obligation

TaxConnex

Cross-border e-commerce sales worldwide grew more than 20% in 2020. According to the National Retail Federation, non-store and online sales are expected to grow 18% to 23% this year over 2020. As your customers in new states grow, so does your potential sales tax obligation.

COVID Surcharges and Sales Tax

TaxConnex

Lost sales, expenses for cleaning, more time and money for employee protection and training are just some of the reasons for businesses to claim they now have to charge extra to pay for responding to the pandemic (aka, “COVID surcharges”). sales tax compliance sales tax

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Complexities of Sales Tax: Leasing

TaxConnex

Sales tax is complicated no matter the industry you are in. Some sales tax concepts for the leasing industry are quite simple while others are more complicated. This property that is owned by the lessor creates sales tax nexus wherever the equipment resides. sales tax?off

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Understanding Sales Tax Exemptions and Exclusions

TaxConnex

As sales tax is charged at the point of final sale, goods and services bought for resale are often exempt to avoid double taxation. Some entities that are not resellers of goods may also be exempt from sales tax. sales tax compliance sales tax

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Sales and Use Tax Updates from February

TaxConnex

There’s always something changing in the world of tax, especially sales tax. The Sunshine State previously bet a lot on tourism revenue making up for not taxing internet sales – but the pandemic has wrecked that industry. Texas sales tax collections totaled $3.07

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Sales Tax Updates for Technology Companies

TaxConnex

Sales tax obligations regarding software and other technology-related solutions can often come down to location and definition. The taxpayer argued that they deserved a refund on a portion of the Indiana sales tax on the software purchase because not all of the users were in the state.

The Enigma of Drop Shipments for Sales Tax Purposes

TaxConnex

Sales tax is full of complexities, but there are certain topics that seem to cause more of a headache than others. Who is ultimately responsible for the sales tax in this three-party transaction? If the retailer has nexus in Illinois, they are required to collect the Illinois sales tax.

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The Pandemic's Impact on Businesses and Sales Tax: An Update

TaxConnex

In the fall of 2020, I published an article on how the sales tax picture is changing due to COVID-19. Now that we’re over a year into the pandemic, I wanted to provide an update on the sales tax landscape, what predictions have remained the same and what’s changed.

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What's New in State Sales and Use Taxes

TaxConnex

There’s always something changing in the world of tax, especially sales tax. Dire forecasts of states’ plunging sales tax revenue in the age of COVID continue to be proven wrong. billion for next year – with online sales taxes making up a substantial portion of the take.

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Tips to Ensure You Don't Mishandle a Sales Tax Audit

TaxConnex

Managing a sales and use tax audit can be challenging. Sales tax obligations are something to be taken seriously. By relying on a sales tax expert, you gain years of expertise and experience in managing sales tax and are far less likely to make a costly mistake.

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State Sales and Use Tax Update

TaxConnex

There’s always something changing or new going on in the world of tax, especially sales tax. In Alabama , tax licenses – including for sales tax, sellers use tax and the simplified sellers use tax – must be renewed annually as of Nov. Texas state sales tax revenue totaled $2.57

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Monthly Sales and Use Tax Update

TaxConnex

There’s always something changing in the world of tax, especially sales tax. Colorado lawmakers have adopted SB21-282 , which extends the exception to destination sourcing requirements; the exception applies only to businesses with less than $100,000 in retail sales.

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Home Rule: Can Local Jurisdictions Create Sales Tax Obligations?

TaxConnex

There’s no way to sugarcoat it: Sales tax obligations are already difficult at the state level, but when you bring it down to local jurisdictions, or home rule jurisdictions, you get the next level of complexity. Setting sales taxes laws often fall under that umbrella.

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5 Steps to a Complete Sales Tax Filing Process

TaxConnex

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.

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What's New in State Sales and Use Taxes

TaxConnex

There’s always something changing in the world of tax, especially sales tax. Currently, Kansas is unusual in that all sellers regardless of number or value of sales must register for a sales tax permit. TaxConnex provides services to become your outsourced sales tax department.

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Calculation vs. Compliance: A Deep Dive into Two Important Pieces of Your Sales Tax Process

TaxConnex

For most businesses, sales tax is not a top priority. Understanding the various aspects of your sales tax process is critical to minimize your risk and to keep your business on solid ground as it relates to sales tax. sales tax compliance sales tax calculation

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Complexities of Sales Tax: Construction

TaxConnex

If you’re a construction contractor – especially if you’re engaged in contracts in different states – you have to evaluate your sales tax responsibilities in each state where you have customers. Generally, a business that considers themselves in the construction industry is performing a service and most services are excluded from sales and use tax. So you might think you have nothing to worry about from a sales and use tax perspective. sales tax nexus sales tax taxability

State Sales and Use Tax Update

TaxConnex

There’s always something changing or new going on in the world of tax, especially sales tax. Nationwide , the Streamlined Sales Tax Governing Board has made amendments to the Streamlined Sales and Use Tax (SST) Agreement to revise its amnesty-related provisions.

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Latest Developments in State and Local Sales Tax

TaxConnex

Under the SSUT formula, 50 percent of all revenues from online sales from companies participating in the program go to the state. city council was also recently set to vote on giving a quarter of online sales tax revenue to the city’s schools in 2021. (A Sales taxes were up 8.2

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Questions to Ask Your Sales Tax Provider Before You Sign the Contract

TaxConnex

Why are you paying more penalties for missed notices and late payments than you were before you started working with your sales tax vendor? The good news is there are other providers that put the client first and ensure sales tax is managed correctly. They said it would be simple.

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Complexities of Sales Tax: Technology

TaxConnex

Technology companies, and specifically software companies, have always had challenges related to managing sales tax. But with the proliferation of Software-as-a-Service (SaaS) as a delivery mechanism and Wayfair, the sales tax landscape has become exponentially more complex. sales tax?off

What Happens if You Mess Up a Sales Tax Filing

TaxConnex

Last week we talked about all of the different filing frequencies and deadlines you have to manage with your sales tax obligation. T rying to meet your sales tax obligations across many different states confronts you with a head-spinning assortment of deadlines and filing frequencies.

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Understanding Your Sales Tax Obligations as a Technology or Software Company - A Checklist

TaxConnex

Sales and use tax generally applies to the sale or use of tangible personal property and certain services. In fact, many states impose sales and use tax on services provided by the technology industry. How are you calculating sales tax? sales tax compliance taxability

3 Common Missteps of Sales Tax

TaxConnex

Sales tax obligations are getting more complicated for businesses of all industries. In this blog, we’ll talk to some of the common missteps businesses make when trying to manage sales tax on their own. Figuring out where you have nexus is key to determining your sales tax liability.

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Sales and Use Tax Updates from March

TaxConnex

There’s always something changing in the world of tax, especially sales tax. 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.

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7 Steps to Make an Easy Transition to a New Sales Tax Outsourcing Provider

TaxConnex

In order to address their expanding sales tax obligation, many businesses decided to outsource the sales tax process and chose an “automated” solution. If you are one of these businesses, you may now realize that much of the sales tax process falls on your shoulders.

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Holdout States Moving Toward Sales Tax Requirements

TaxConnex

Of the 50 states, 45 (plus DC) charge a state-wide sales tax. Two of those states that have a state-wide sales tax, Missouri and Florida, have yet to adopt economic nexus standards set by the 2018 South Dakota v. sales tax sales tax news

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