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What's new in May for state sales and use taxes

TaxConnex

Among other findings: Sales tax bases range from 19.32% of personal income in Massachusetts to 93.89% in Hawaii; the Massachusetts base is extremely narrow, while the Hawaii base features significant tax pyramiding. For gross receipts from the sale of newly taxed services prior to Jan. An old story.

Sales 246
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Noteworthy Changes for Massachusetts Income Taxpayers

Withum

Most state income tax systems fall into two categories: progressive tax and flat tax. Massachusetts touts a “flat tax” system. It is equitable, doesn’t punish high-income earners, and everyone is left with the same percentage of after-tax earnings to spend, right? Good News or Bad News?

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Massachusetts Enacts Single-Sales Apportionment Among Other Tax Provisions

Withum

On October 4, 2023, Massachusetts enacted tax legislation (H.4104), 4104), which will dramatically affect how businesses calculate their Massachusetts income. Historically, most businesses in Massachusetts apportioned income using a three-factor apportionment formula comprising of property, payroll, and double-weighted sales.

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Sales Tax on Shipping: When Does it Apply?

TaxConnex

When shipping to a retailer, sales tax is incurred in Idaho no matter where “shipping” appears on an invoice. In Kentucky, stating shipping separately avoids sales tax unless the seller makes the delivery. And in Massachusetts, delivery must occur after the purchase to be exempt from sales tax.

Sales 246
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Massachusetts CPA Firm Venning Set to Become Largest Minority Owned Firm in U.S.

CPA Practice

one of the most respected accounting and tax firms in Central Massachusetts, recently announced an ownership change and rebranding of the firm as Venning. The firm merged with Agawam, Massachusetts-based accounting firm, Corbin & Tapases on September 27. Venning & Jacques, Inc.,

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State Sales and Use Tax Update

TaxConnex

The case in point brought out how a transaction in which a provider doesn’t transfer tangible personal property to a customer generally would not be subject to retailers’ occupation tax, use tax, service occupation tax or service use tax.

Sales 233
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The latest on sales tax on shipping charges (part 2)

TaxConnex

Stating the shipping cost separately on the invoice, for instance, affects taxability in Alabama (as does how the item is delivered), Arizona, Iowa, Maryland, Massachusetts (if the shipping cost “reasonably reflects” the vendor’s real cost), Missouri and Wisconsin – but not in Tennessee.

Sales 26