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Here’s Why Maryland Paid the IRS $5.4 Million in Taxes

CPA Practice

2—Maryland has paid $5.4 The revelation of tax withholding issues leads Handwerger to want “to know more about how much the state of Maryland relies on its own resources versus outsourcing,” such as expert accounting services. But I don’t think it’s malicious or cause for concern for the average Maryland taxpayer.”

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Federal Judge Sides With Maryland in Digital Ad Tax Dispute

CPA Practice

By Emily Opilo, The Baltimore Sun (TNS) A federal judge has sided with Maryland in a dispute over the state’s digital advertising tax, dismissing a claim filed by the U.S. At the time, the Maryland General Assembly overrode a veto from then-Gov. The law taxes revenue that digital advertising providers collect on ads shown in Maryland.

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How to Turn a Shortage of Accountants Into an Opportunity for Businesses

CPA Practice

Here’s how to attract them to accounting: Make the education requirements for CPAs less onerous and expensive. Those salaries look all the more paltry when weighed against the cost of education necessary to become a CPA, and the rise in other living costs that weigh on recent graduates.

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Accounting Software Vulnerabilities: A Wake-up Call for Construction Companies

Withum

A recent alert from Maryland-based cybersecurity firm Huntress highlights a concerning vulnerability for construction companies using on-premise accounting and project management software with default login credentials.

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Sales tax and accounting services

TaxConnex

Tax preparers are generally accredited individuals – certified public accountant (CPA) and enrolled agent (EA) are two common preparer designations – who have completed previous and ongoing education to understand compliance for varied tax purposes. Accounting services are often, but not always, exempt.

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Sales and Use Tax Updates from February

TaxConnex

In another possibly trendsetting development, Maryland has greenlighted the country’s first tax on digital advertisements sold by companies such as Facebook, Google and Amazon. Maryland has also extended time free of interest and penalties to file sales and use tax returns due between Jan. 20 and April 14 to April 15, 2021.

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What’s new: state sales and use taxes

TaxConnex

In this case, the “true object” of the transaction is the education or training. Because the service consists of both taxable digital goods and enumerated taxable services, the state applied the “true object test” to determine taxability of the service.

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