We are pleased to announce the launch of the new Sutherland SALT Digital Economy Forum, which provides resources, legislative monitoring and advocacy, and strategic counsel on the state taxation of the Digital Economy. To access free resources on the taxation of the Digital Economy, click on the Digital Economy Forum link at the top of the page.

The Digital Economy includes cloud computing, digital goods and services, electronic payments, and other goods and services delivered or transferred electronically. The state tax ramifications of Digital Economy transactions are incomplete and evolving. A recent survey by Sutherland SALT of leading cloud computing providers illustrates the confusion. Approximately one-third of the respondents sourced sales tax transactions using customers’ billing addresses. And, nearly three-fourths of the respondents do not apportion sales of cloud computing services for sales tax purposes when the benefit of the service is received at more than one customer location. Click here to see a summary of the survey results.

Sutherland SALT will be monitoring and commenting on the digital economy and various SALT consequences, including income taxes, sales taxes, telecommunications taxes and fees, employment tax and information reporting, and property taxes. If you would like to join the Sutherland SALT Digital Economy Forum and benefit from proprietary research, analysis and commentary, please contact one of us.