Representative J.D. Prescott (R) introduced Indiana House Bill 1312, which would impose a surcharge tax on social media providers. This proposed bill shares similarities with proposed digital advertising taxes in Maryland and New York, except that Indiana’s proposed surcharge tax is targeted at social media providers deriving revenue from advertising services on their
New York Rings in the New Year by Proposing Bill that Would Expand Sales Tax Base to Digital Advertising Services
Legislation (S.302) was prefiled in the New York State Senate for the 2021-2022 legislative session that would expand the sales tax base to digital advertising services. The bill was prefiled by Democratic State Senator Kevin Thomas.
The bill defines “digital advertising services” as “advertisement services on a digital interface, including advertisements in
Maryland’s Proposed Digital Advertising Tax (HB 732) – Insights and Analysis
Ongoing insights and analysis regarding Maryland’s proposed digital ad tax bill
The Latest
- Maryland lawmakers are expected to revive a pair of failed controversial tax expansion proposals shortly after the scheduled start of the next legislative session on January 13, 2021.
- On May 7, Governor Larry Hogan vetoed H.B. 732, which proposed a first
Colorado updates regulations concerning remote sellers and marketplace facilitators
On September 10, the Colorado Department of Revenue promulgated four sets of regulations related to remote sellers and marketplace facilitators. One set, adopts a special rule that establishes the sales tax requirements and conditions for sales made through a marketplace facilitator’s marketplace. A second set updates Rule 39-26-102(3) to clarify when a retailer is doing
Virginia provides guidance on peer-to-peer vehicle sharing tax
Virginia’s peer-to-peer vehicle sharing tax, passed in April, takes effect on October 1. Generally, vehicle owners with up to ten shared vehicles will be subject to a 6.5% gross tax. The law obligates vehicle sharing platforms to collect the tax on behalf of the owners if the platform has established sufficient contact with the state.
California DTFA proposes guidance on drop shipment taxation
On August 25, California’s Department of Tax and Fee Administration released a discussion paper and proposed amended regulations to clarify when marketplace facilitators are considered the retailer with regard to drop shipment transactions. The CDTFA is accepting written comments and will hold a virtual hearing on the proposal September 15.
California DTFA Proposes Guidance on Drop Shipment Taxation
On August 25, California’s Department of Tax and Fee Administration released a discussion paper and proposed amended regulations to clarify when marketplace facilitators are considered the retailer with regard to drop shipment transactions. The CDTFA is accepting written comments and will hold a virtual hearing on the proposal on September 15.
South Carolina Reminds Marketplace Facilitators of Responsibility for COVID-19 Surcharges
South Carolina Information Letter No. 20-23 clarified that COVID-19-related surcharges, takeout charges, and the like are subject to sales tax. The information letter, released August 5, “remind[ed]” taxpayers that the 6% sales tax applies to “gross proceeds of sales,” which includes all value that comes from the sale of tangible personal property, such as restaurant
Virginia Issues Draft Sports Betting Regulations
On August 10, the Virginia Lottery released full draft sports betting regulations for public comment. The regulations will implement H.B. 896/S.B. 384, signed into law on April 22 as Chapter 1218. The proposed regulations concern operations, internal controls, and enforcement. The Virginia Lottery Board will accept public comments regarding the regulations through September 9.
Ohio Updates Sourcing Guidance for Marketplace Facilitators
Late last month, the Ohio Department of Taxation updated its existing sourcing bulletin to provide that marketplace facilitator sales into the state are sourced for sales and use tax purposes at the location where a consumer receives an order or service. The change allows marketplace facilitators to apply the same destination-based sourcing rules to both