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The Sales Tax Institute is dedicated to
educating business people about sales and use tax concepts and issues. We enable companies
to minimize the tax expenses and administrative costs related to accurate compliance by
offering three training courses throughout the United States.
The course offerings are: E-STI: Sales Tax Concepts online- Introduction, Definitions & Nexus Sales Tax Concepts,
Basics of Sales and Use Tax,
and the Advanced Sales and
Use Tax Workshop.
If you would like more information about
upcoming courses, send a message to courseinfo@salestaxinstitute.com.
The Sales Tax Institute was founded by
Diane L. Yetter of
Yetter Consulting Services, Inc.
HOT NEWS UPDATE: 02/05/2010
Pennsylvania DOR Issues 2010 Amnesty Guidelines Pennsylvania has issued rules and guidelines for its upcoming tax amnesty program. The 2010 Tax Amnesty will apply to any taxes administered by the Department of Revenue and will run from April 26, 2010 to June 18, 2010. To participate, taxpayers will need to file an online Amnesty return, file all delinquent tax returns and make the required payment within the Amnesty Period. All penalties and one-half of the interest due will be waived. The periods eligible are those where a known or unknown delinquency exists as of June 30, 2009. At the conclusion of the Amnesty Period, a 5% non-participation penalty will be imposed on all un-paid tax, penalty and interest not paid in full during the Amnesty Period. (2010 Tax Amnesty Program Guidelines, Pennsylvania Department of Revenue, December 5, 2009) New York Legislature Passes Amnesty Measure On December 2, 2009, the New York legislature passed a tax amnesty measure to authorize an accounts receivable discount program. This program will allow eligible taxpayers to pay outstanding taxes, fees, or surcharges imposed by the state. This measure has been sent to Governor David A. Paterson for his signature. Under the accounts receivable discount program, fifty percent of the penalties will be waived for eligible tax liabilities issued after December 31, 2003 and on or before December 31, 2006. For tax liabilities issued on or before December 31, 2003, eighty percent of the penalties will be waived. It is expected that the limited forgiveness period would take place in the last quarter of 2009-10. (A.B. 21, Laws 2009, Fourth Special Session; Fact Sheet: $2.7 Billion Enacted Deficit Reduction Legislation, Office of New York Gov. David Paterson, December 3, 2009) Massachusetts Authorizes an Amnesty Program The Massachusetts Governor signed legislation to implement a two-month tax amnesty program that is set to end no later than June 30, 2010. All penalties, in which the Commissioner has sole authority, will be waived provided the taxpayer files returns and makes payments as required by the tax amnesty program. Amnesty shall not apply to those penalties which the commissioner would not have the sole authority to waive including, but not limited to, fuel taxes administered under the International Fuel Tax Agreement or under the local option portions of taxes or excises collected for the benefit of cities, towns or state governmental authorities. The Commissioner will determine the scope of the program, including the particular tax types and periods covered, including any limited look-back period for unfiled returns. The amnesty program will not apply to taxpayers who were the subject of a tax-related criminal investigation or prosecution before the start date of the amnesty program. Any taxpayer who was eligible for the amnesty program, but failed to come forward before June 30, 2010 will, in addition to all other penalties, be subject to an additional penalty of $500. (Ch. 166 (H.B. 4359), Laws 2009, effective November 24, 2009) Special Session Bill on Internet Sales Dies in California Assembly Bill 27, which proposed to tax certain internet sales, died in the third session of the California Assembly. The bill would have amended the definition of a retailer to include any retailer who entered into an agreement with a California resident under which the resident, for a commission or other consideration, directly or indirectly refers potential customers of tangible personal property, whether by a link or an Internet Web site or otherwise, to the retailer. A similar bill, A.B. 178, was introduced on February 2, 2009 and is still pending. (A.B. 27, died at the desk, October 26, 2009; A.B. 178, introduced in the regular session by the California Assembly n February 2, 2009) District of Columbia Enacts Second FY 2010 Budget Support Emergency Act The District of Columbia has passed a second budget support act which repeals the previous one, but reenacts some of the repealed acts sales and use tax provisions. Beginning October 1, 2009 and ending September 30, 2012, the general sales and use tax rate will increase from 5.75% to 6%. The authorization to establish an amnesty program to allow taxpayers liable to pay certain taxes on returns or reports was also reenacted. The amnesty is allowed for tax periods ending prior to December 31, 2008 or December 31, 2009 if the program is established after December 31, 2009. In addition, the repeal of the District’s sales tax holidays provisions was reenacted. (Act 18-207 (D.C.B. 18-443), Laws 2009, effective October 15, 2009, for a 90-day period that expires January 13, 2010) Connecticut Summarizes 2009 Legislative Changes, Including Possible Rate Decrease The Connecticut Department of Revenue Services issued a special notice discussing sales and use tax changes resulting from the 2009 regular and June special sessions. Effective January 1, 2010, there will be a decrease in the sales and use tax rate to 5.5% contingent on the cumulative monthly financial statements. There will also be an increase in the new seller's permit from $50 to $100 beginning October 1, 2009. If a seller's permit is suspended or revoked, the fee for a reissued seller's permit is also increased from $50 to $100. Effective July 8, 2009, exemptions for gas, electricity, machinery, materials, tools, and fuel are amended to make persons that make finished products (for example asphalt) used to fulfill a paving contract eligible for them when they are purchased to make the product. (Special Notice 2009(6), Connecticut Department of Revenue Services, October 19, 2009) Virginia Issues Guidelines for the Tax Amnesty Program Virginia has issued rules and guidelines for its upcoming tax amnesty program. The 2009 Virginia Tax Amnesty program will run from October 7, 2009 to December 5, 2009 and will generally apply to any taxes administered or collected by the Virginia Department of Taxation. Penalties and one-half interest will be waived for all eligible amnesty tax assessments and delinquent return liabilities provided full payment of the tax and one-half interest is made. In order to qualify, tax bills must be related to an amnesty eligible tax type and period and have an assessment date on or before July 9, 2009, while returns must be applicable to an eligible tax type and period. With respect to amnesty eligible bills with an assessment date on or before July 9, 2009, payments must be postmarked by December 5, 2009. For delinquent tax returns, taxpayers are required to file by December 5, 2009 all relevant tax returns and associated documentation, and pay the tax and one-half of the interest that’s due by December 5, 2009, or within 30 days of the date the assessment was issued, whichever is later. The Department has also noted that if delinquent taxpayers do not pay their tax bill by December 5, 2009, they will be charged full interest and an additional 20 percent penalty for late taxes. (Ruling of Commissioner, P.D. 09-40, Virginia Department of Taxation, September 28, 2009; Press Release, Office of Virginia Gov. Tim Kaine, September 28, 2009) 2009 Tax Holidays Chart updated regularly:Click here for chart |
