Blog

Vermont’s Exemption on Cloud Computing

Last year Vermont enacted legislation to be exempted from taxation sales of cloud computing (also known as remotely accessed prewritten software, Software-as-a-Service, “SaaS”, or ASP). A Brief Legislative History In 2010, Vermont issued a technical bulletin that interpreted existing law as imposing tax on prewritten software regardless of how the software was accessed. Act 143 […]

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IRS Delays E-Service Re-Registration Planned for October 24

Update from the IRS as of October 24th Revised Date Information for e-Service Users To ensure a smooth transition, the IRS has decided to delay the October 24 date for requiring e-services users to re-register and validate their identities through Secure Access authentication. In the next few weeks, the IRS plans to have discussions with […]

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More Changes Coming to Louisiana: Somebody Call 911

Louisiana has two upcoming changes effective October 1 that were not highly publicized. Changes in taxability have become almost routine in Louisiana over the past few months. While most of the major changes were completed as of July 1, 2016, additional adjustments that have not been well-publicized will go into effect on October 1, 2016. […]

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Automatic Exchange of Information (AEOI) Updates: Aug. 29 – Sep. 16, 2016

Automatic Exchange of Information (AEOI) legislation and technical updates are top concerns for financial institutions. The Sovos Compliance Research Team continually monitors new regulations and updates from around the world and publishes them in our tool, Sovos Taxport Compass. Contact us today to start your subscription and have access to all the latest Tax Information […]

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Attendance at 14th AEOI Congress Tripled This Year; Reflects Increasing Concern and Complexity

Sovos Compliance attended the 14th Automatic Exchange of Information (AEOI) Congress Sept. 14-15 in London. Attendance nearly tripled that of last year’s conference and attendees included representatives from a variety of financial institutions, finance and legal experts, and U.K. and U.S. tax agencies (IRS and HMRC). Topics included changing AEOI requirements, compliance trends and best practices, […]

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IRS Updates Publication 5124 For Next Year’s FATCA Filing

The IRS plans to migrate to a new schema format for next year’s Foreign Account Tax Compliance Act (FATCA) filing and the IRS has recently released its long awaited Publication 5124, which is the user guide for the IRS’s FATCA XML schema. While the Publication is listed in draft, the IRS has been clear that […]

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Evaluating AEOI Solutions: Top Questions to Consider

For financial institutions looking to proactively comply with global reporting standards including Foreign Account Tax Compliance Act (FATCA), Crown Dependencies and Overseas Territories (CDOT) legislation and the Common Reporting Standard (CRS) while minimizing costs and risks, our recent report showed that an Automatic Exchange of Information (AEOI) solution is key. In evaluating such solutions for […]

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Centralized AEOI Solutions Mitigate Financial Institutions’ Top 5 Global Reporting Challenges

In our recent survey – Stop Playing with Fire: Use Centralized AEOI Solutions to Prepare for FATCA, CRS and CDOT – financial institutions revealed several challenges related to complying with complex and ever-changing global reporting standards, including Foreign Account Tax Compliance Act (FATCA), Crown Dependencies and Overseas Territories (CDOT), and the impending Common Reporting Standard […]

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It’s B and P Notice Season: Do You Have a Streamlined Process?

B and P Notice season is upon us. In order to avoid penalties, it’s important you understand how the cycle works and how you can stay compliant. Review our B-Notice Process infographic to help your team understand the cycle and plan ahead. Tax information reporting is a year-long process. In January, you print and mail […]

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Most Financial Institutions Plan to Implement Automated AEOI Reporting Solutions in the Next Year

Overview Since the United States’ Foreign Account Tax Compliance Act (FATCA) regulation first passed, many financial institutions have relied on home-grown solutions to maintain compliance. Now, with a few years of Automatic Exchange of Information (AEOI) reporting under the belt, the industry has reached a tipping point and in a recent benchmarking survey, most financial […]

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Automatic Exchange of Information (AEOI) Updates: August 15-26, 2016

Overview Automatic Exchange of Information (AEOI) legislation and technical updates are top concerns for foreign financial institutions. The Sovos Compliance Research Team continually monitors new regulations and updates from around the world and publishes them in our tool, Sovos Taxport Compass. Contact us today to start your subscription and have access to all the latest […]

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Is Your Organization Prepared for B and P Notice Season?

The IRS has started sending CP2100 and 972CG notices to organizations. These notices, commonly referred to as B and P notices respectively, contain incorrect name/taxpayer identification number combinations from previous years’ information returns. The landscape of B and P notices is multifaceted and managing this process to stay compliant can be arduous. Is your organization […]

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New Report Shows Financial Institutions Are Less Prepared for Automatic Exchange of Information Reporting Than Many Believed

New research from Aberdeen Group and Sovos Compliance shows confidence, but gaps in accuracy and mounting fears of fall out as FATCA, CRS, and CDOT regulations grow in scope. August 16, 2016, Wilmington, Massachusetts — A new report shows that, while most financial institutions feel prepared for the current requirements related to the automatic exchange […]

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Sovos Successfully Supported 20 Million Households with 2015 ACA Reporting

In less than 12 months, Sovos Compliance developed and delivered to market Sovos ACA, a software to support businesses with their ACA compliance requirements. In less than 12 months, Sovos Compliance, a global leader in tax and business-to-government compliance software, successfully delivered to market Sovos ACA, a new product to support Affordable Care Act (ACA) […]

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Weekly Global Roundup: July 30-August 5, 2016

Besides the Treasure department considering changing the IGA statuses of jurisdictions that are currently “In Effect” to “In Force” here are the other changes going on throughout the world in our global roundup compiled by our expert researchers. Cyprus Releases New FATCA Filing Notice Cyprus has released a new FATCA filing notice reminding Financial Institutions and […]

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After the Storm: An Extraordinary Year in Louisiana

General Taxability Changes On March 14, 2016, House Bills 61 and 62 (Acts 25 and 26 respectively), were signed into law by Louisiana Governor, John Bel Edwards, as part of the First Extraordinary Session of the Louisiana Legislature. This legislation expanded the sales tax base in Louisiana to encompass nearly every previously excluded and most […]

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Treasury To Reconsider IGA Status For Certain Jurisdictions

This week, the Treasury Department published Announcement 2016-27 detailing its plan to reevaluate jurisdictions whose FATCA Intergovernmental Agreement (IGA) status is treated as “in effect.” This means that Foreign Financial Institutions (FFIs) in jurisdictions whose IGA is currently signed or considered in substance may face changes to how they report their FATCA returns to the […]

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IRS Releases Long Awaited TIN Solicitation Guidance

The IRS recently released long-awaited guidance for filers regarding TIN solicitation. The IRS proposed regulations for 6055 contain a number of clarifications for providers of health insurance. The most recent guidance—Notice 2015-68—filers received was released last September, just shy of a year ago. The proposed regulations discussed comments from filers regarding necessary changes to TIN […]

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