Weekly Roundup: Sales Tax Profits and Losses



Sales and use tax revenues impact both states and businesses —one as a major source of funding, the other as a compliance challenge. Consider this —new state revenue data from the U.S. Census Bureau reveals that sales tax is the single largest source of tax revenue (39% of total) for states still reeling from the Great Recession.

Sales tax is a revenue engine for states; for businesses, it is a legal requirement. Businesses need to collect and remit tax correctly and efficiently so they avoid spending more than they have to on state-imposed penalties and extraneous resources spent on a zero-profit activity. This includes staying current with the latest state and federal tax laws including the medical device excise tax, state tax on fuel, and new sales tax exemptions.

Get the details on these stories and more below.


Weekly Roundup: States vs Businesses

Storified by Avalara· Fri, Feb 08 2013 09:51:41

Amazon To Collect Connecticut Sales Tax November 2013 | TaxRates.comAmazon.com and the state of Connecticut announced earlier today that they have reached an agreement: the online retail behemoth will star…
Medical Device Excise Tax Repeal on Table | TaxRates.comThe Medical Device Excise Tax (MDET) took effect on January first of this year. Under MDET, manufacturers and importers of medical device…
Ask a Former Auditor Your Questions [Webinar]For nearly thirty years, Lloyd Geggatt worked as a state auditor, witnessing everything from creative accounting, to dumpster document st…
Indiana Takes Step Toward Amazon Tax | TaxRates.comThe Indiana House of Representatives yesterday underscored the need for Amazon to start collecting and remitting sales tax in the Hoosier…
Michigan Considers Click-Through Nexus, Simplified Tax Code | TaxRates.comThe Michigan House has released the 2013-14 House Republican Action Plan. Among other things, it calls for the state to "address unfair t…
Ohio Governor Seeks to Broaden Sales Tax Base, Reduce Rate | TaxRates.comOhio Governor John Kasich (R) has released his 2014-15 budget proposal. In it, he calls for a reduction in the state general sales tax ra…
Virginia: Plan to Swap Gas Tax for Sales Tax Flounders | TaxRates.com" Flounder: to struggle; to move with difficulty, as in mud." Virginia Governor Robert McDonnell’s (R) plan to generate revenue for state…
Michigan, Nonprofits, and Sales Tax Exemptions | TaxRates.comEffective March 28, 2013, certain charitable organization in the state of Michigan will be eligible for a sales tax exemption on purchase…

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