Taxes are one of the primary compliance concerns for direct-to-consumer (DtC) shippers of wine, and one of the more complex ones. The 47 states, plus D.C., that permit DtC shipping of alcohol want to ensure there is parity between alcohol sold in-state and any coming from out-of-state sources. So, if a bottle of wine is […]
Direct state reporting obligations can quickly become complicated for any business, and if done incorrectly, state penalties can add up rapidly. Direct state reporting has been required by many states for decades, however, only recently have we seen states increase enforcement surrounding their reporting requirements. States that participate in the Combined Federal State Filing (CF/SF) […]
Kentucky just entered its third year of DtC alcohol shipping, opening doors for wineries, breweries and distilleries to expand their product reach. The change was especially welcomed by the Kentucky Distillers’ Association (KDA), which helped craft and guide the landmark DtC bill in 2020 that established these permissions. Founded in 1880, the KDA is the […]
Argentina has recently expanded its perception VAT (Value Added Tax) collection regime to ensure efficient tax administration. It has included selling food and other products for human consumption, beverages, personal hygiene, and cleaning items under its scope. The Argentinian Federal Administration of Public Revenue (AFIP) established this through Resolution No. 5329/2023 in early February 2023. […]
The IRS created the Combined Federal State Filing (CF/SF) program more than 20 years ago to help alleviate the administrative burdens on small businesses reporting 1099 information to states. This program integrates federal and state filings. The IRS uses information filed in federal filings and then forwards relevant information to states on a business’ behalf. […]
On 10 February 2023, the Italian Tax Authority introduced the possibility for 2.4 million professionals and companies to view and download the pre-filled Annual VAT declaration related to transactions carried out in 2022. This return must be submitted by 2 May 2023. Who does this impact? The service is available for taxpayers defined by the […]
The California Voluntary Compliance Program (VCP) is now available, according to an announcement from the California State Controller. For the first time, we are hearing from the State Controller’s Office (SCO) regarding the VCP authorized by the California legislature in September 2022. The announcement on the SCO’s website provides guidance concerning the upcoming program and […]
Sovos ShipCompliant’s recent 2023 Direct-to-Consumer (DtC) Wine Shipping Report, released with our partner Wines Vines Analytics, showed the first-ever decline in both value (-1.6%) and volume (-10.3%) of shipments. While these numbers are concerning, it’s important to look at the industry in its entirety and keep in mind the overall context of pandemic responses from […]
While the first annual Direct-to-Consumer (DtC) Spirits Shipping Report, presented by Sovos ShipCompliant and the American Craft Spirits Association (ACSA), found that 80% of regular craft spirits drinkers would purchase spirits for DtC shipping monthly if permitted in their state, it’s not necessarily as apparent to producers how they can legally ship spirits DtC. We’ve […]
Tax identification numbers (TINs) play an extremely important role in the 1099 reporting process. However, it is often misunderstood just how important a role valid TINs play. If incorrect names and/or TINs are reported, the consequences can be substantial. Here are key basics to remember about TINs when filing 1099s. What is the initial impact […]
Preventing sales tax audit risk is the best policy to have in place, versus reacting to an audit. However, when auditors do come knocking, businesses want to be able to quickly and easily find the needed documentation. When you have the right sales tax automation tools and processes in place, the chances of getting audited […]
By Wendy Walker, Solution Principal, Sovos and Jessica Metts, Director of Client Services, Comply Exchange With the 1042-S reporting deadline approaching , Comply Exchange recently partnered with Sovos to deliver a webinar breaking down the end-to-end information reporting and withholding lifecycle. A lot of withholding agents or payers do not think of the information reporting […]
Craft beer drinkers want expanded direct-to-consumer (DtC) beer shipping options, and if recent pieces of legislation are any indication, they may soon start to get that wish. Currently, several states have introduced bills that could expand the DtC alcohol shipping landscape for breweries and wineries alike. We’ve highlighted the details below. Hawaii DtC beer shipping, […]
Craft beer drinkers want their beer shipped DtC—legally—and they are willing to pay for it. Those are among the conclusions of the third annual Direct-to-Consumer (DtC) Beer Shipping Report, released this March by Sovos ShipCompliant in partnership with the Brewers Association. The report includes a regulatory review of the DtC beer shipping channel, the latest […]
By Judy Vorndran, J.D., CPA, TaxOps and Nancy Steele, TaxOps To deal with the uncertainty of evolving sales and use tax policies in numerous jurisdictions, businesses have increasingly turned to software providers to deliver the right rates and calculations for each transaction. Unfortunately, calculating the amount of tax due is only part of what it […]
Electronic invoicing in France (to enter into force from July 2024) requires using a (partner) dematerialization platform. The already enacted legislation leaves the choice of which platform up to companies. Should you use the public platform (‘PPF – Portail Public de Facturation’, i.e. Public Invoicing Portal) or a third-party private platform (‘PDP – Plateforme de […]
It’s essential to stay on top of your company’s VAT requirements. This requires sound knowledge of the rules and what authorities expect of businesses. This includes dealing with supplies of goods and services outside standard VAT obligations. Not every product or service incurs VAT. This is VAT exemption. VAT exempt supplies of goods and services […]
The EU Commission’s VAT in the Digital Age proposals include a single VAT registration to ease cross-border trade. Due to enter into force on 1 January 2025, the proposals are part of the commission’s initiative to modernise VAT in the EU. The single VAT registration proposals would mean only registering for VAT once across the […]