Avalara > Blog > Sales and Use Tax > October Roundup: Sales tax laws you need to know

October Roundup: Sales tax laws you need to know

  • Nov 2, 2020 | Gail Cole

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While you focus on your business, we stay on top of legislative and policy changes that can affect your sales tax compliance.

Tax news highlights from October include new battles over direct-to-consumer wine sales, new efforts to establish real-time tax remittance, and a new sales tax holiday. Read on for more details.

 

A spin doctor for cranberries.

Dried cranberries have a public relations problem. Though a fruit, they’re often categorized, and taxed, as candy. Learn more.

 

Alabama moves to annual tax license renewals.

Numerous tax licenses must now be renewed annually in Alabama. Learn more.

 

Battles brew over direct-to-consumer wine shipments.

Even as the pandemic underscores the value of direct sales, Michigan and Ohio are working to limit or outright prevent them. Learn more.

 

Bread so sweet it’s taxed as cake.

The Supreme Court of Ireland ruled bread served by an Irish Subway franchise contains too much sugar to qualify for the 0% VAT rate normally applied to bread. Learn more.

 

Louisiana creates new sales tax holiday.

A one-time sales tax holiday will take place November 20–21, 2020, in Louisiana. Learn more.

 

Marketplace sellers challenge California.

The California Department of Tax and Fee Administration is being sued for holding Fulfillment by Amazon sellers liable for back sales tax based on inventory. Learn more.

 

New education models could lead to potential tax issues.

As more education shifts online, states will need to determine how to apply existing sales tax laws to new models. Learn more.

 

New Orleans cuts sales tax rate for diapers and feminine hygiene products.

Qualifying products are now exempt from half of the local sales tax in New Orleans. Learn more.

 

Omnichannel selling can complicate tax compliance.

Different ecommerce channels speak to different demographics, yet each can also create unique sales tax compliance issues. Learn more.

 

Real-time tax remittance rears its head.

A sales tax modernization plan under consideration in Massachusetts would introduce real-time sales tax remittance in two phases. Learn more.

 

Sales tax rate changes.

November brings just a few. Learn more.

 

TTB rulings provide more flexibility for alcohol labeling.

New voluntary labeling guidelines provide greater flexibility for producers, sellers, and importers of alcoholic beverages. Learn more.

 

Unregistered remote sellers face increased audit risk in Kansas.

Out-of-state retailers that aren’t registered to collect and remit Kansas sales tax could soon hear from the Kansas Department of Revenue. Learn more.

 

Utah makes initial foray into allowing direct-to-consumer wine sales.

The new system loosens restrictions, but just a bit. Learn more.

 

Vermont Legislature does some housekeeping.

New laws in Vermont affect income tax reporting for use tax, non-collecting seller use tax reporting, and universal service charges for retail sales of prepaid wireless telecommunications. Learn more.

 

Words matter.

Why would the Vermont Legislature change an any to a the? Because words matter. Learn more.

 

Tired of trying to keep up with sales tax changes around the country? Automating tax compliance can help.


Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Avalara Author
Gail Cole
Avalara Author Gail Cole
Gail Cole is a Senior Writer at Avalara. She’s on a mission to uncover unusual tax facts and make complex laws and legislation more digestible for accounting and business professionals.