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Sales tax and accounting services

TaxConnex

It’s that time of year again when everyone suddenly thinks about preparing their income taxes. But does tax preparation incur sales taxes – and if it does, where and how? Several states levy their sales tax or its equivalent on services, among them Hawaii (which has a general excise tax, or GET), and New Mexico.

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S Corporations and State Income Taxes

Cherry Bekaert

S corporations are corporations that elect to pass corporate income, losses, deductions and credits through to their shareholders for federal tax purposes. Shareholders of S corporations report the flow-through of income and losses on their personal tax returns and are assessed at their individual income tax rates.

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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. Estimates reportedly said the tax will generate up to $250 million but opponents promise legal challenges. 20 and April 14 to April 15, 2021.

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Telecommunication Taxes & Fees by State | TaxConnex

TaxConnex

Other states also impose a gross receipts tax specifically on telecommunications services: Pennsylvania has a 5-percent gross receipts tax, for instance; Maryland is 2-percent and New York is 2.5-percent. These are annual corporate-type taxes, many times requiring an estimated payment like a corporate income tax.

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Telecom Tax and Other Specialty Transactions Taxes

TaxConnex

Pennsylvania , Maryland and New York impose a gross receipts tax specifically on communications services: These are annual corporate-type taxes, often requiring an estimated payment like a corporate income tax.

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State and Local Tax (SALT) Predictions for 2024

CPA Practice

We predict that at least two more states will enact elective PTE taxes, despite the looming expiration of the federal SALT cap. Income tax rate fluctuations States are facing a very uncertain and non-uniform fiscal environment at the moment, affording some, but by no means all, states the ability to reduce state income tax rates.

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Excise Tax versus Sales Tax

TaxConnex

collects about 4% of its revenue from excise taxes. Excise taxes vary widely from state to state, but in recent years states collecting the highest per-capita excise taxes include Vermont, Nevada, Hawaii, Minnesota, and Maryland. Latest estimates are that at the federal level the U.S.

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