On December 31, 2018, District of Columbia Mayor Muriel Bowser signed B22-1070, the Internet Sales Tax Emergency Amendment Act of 2018 (Emergency Act). As of January 1, 2019, the District of Columbia now subjects digital goods to the 6% sales tax rate and imposes Wayfair-style economic nexus sales tax collection requirements. As of April 1,

The District provides a variety of tax benefits to QHTCs, including sales and use tax and personal property tax exemptions, as well as a reduced corporation franchise tax rate. In order to qualify as a QHTC, a business must:

  • Be an individual or entity organized for profit;
  • Lease or own an office in the District;

On February 11, the United States Senate approved a permanent extension of the Internet Tax Freedom Act (ITFA), which previously passed the House of Representatives on December 15, 2015. Additionally, ITFA’s Grandfather Clause, which allows certain states to continue to tax Internet access, is phased out. President Obama is expected to sign the permanent extension

As we previously posted, the Sutherland SALT Team hopes you will join us on November 13-14 at the Bloomberg BNA Tax Policy and Practice Summit in Washington, D.C. We are pleased to let you know that the $200 discount off the conference registration fee for our clients and friends is now available through Wednesday, November 7, so