Regulatory Analysis

Posted November 4, 2022 by Andrew Decker
New York Diaper Exemption Scheduled to Take Effect on December 1

Over the summer New York passed the “Diaper Initiative Affordability for Parents and Elderly Remedy (DIAPER) Act” fully exempting sales of diapers from state and local sales taxes. This new exemption is set to take effect on December 1, 2022. The new exemption applies to both children’s and adult diapers as well as to both […]

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Posted November 2, 2022 by Bradley Feimer
Alaska: City of Galena Joins Alaska Remote Seller Sales Tax Commission

The City of Galena has completed the process to fully participate in the Alaska Remote Sellers Sales Tax Commission (ARSSTC). Collection is effective 12/1/2022 and filings will be updated to include Galena on 1/1/2023. More information on the ARSSTC may be found here.

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Posted October 24, 2022 by Alec Webb
Pennsylvania Transitions from e-TIDES to myPATH Tax Portal

The State of Pennsylvania is sunsetting its online tax platform known as “e-TIDES” and transitioning to its new “myPATH” portal. There are a couple of changes to the filing process in this change: e-TIDES did not enforce the CSV columns to be in a particular order, but myPATH will only accept files in the order in […]

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Posted October 24, 2022 by Alec Webb
Kentucky Releases 2022 Specifications for Electronic Submission of 1099 and W-2G

Kentucky has released its Electronic Submission of 1099 and W-2G specs for tax year 2022.  The document was updated with dates for the 2022 tax year. There are no changes to the specifications when compared with the TY 2021 Specifications. To review these specifications in their entirety, please click here to visit the Kentucky Department […]

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Posted October 11, 2022 by David Armas
Kentucky Enacts New Amnesty Period

Kentucky recently enacted HB 8 which provides for a new amnesty period from October 1 to November 29, 2022. During this period, amnesty is available for sales which took place between October 1, 2011, to December 21, 2021 and will apply to most tax types, as well as associated penalties, fees, and interest collected by […]

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Posted October 3, 2022 by Bradley Feimer
Skagway, Alaska Approves Local Sales Tax Holiday

The Municipality of Skagway passed a resolution declaring the period of October 1, 2022, through March 31, 2023, as a sales tax holiday for local purchases. The sales tax holiday applies to all retail sales which physically occur within the local and is not applicable to remote sellers. The resolution may be found here.

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Posted October 3, 2022 by Bradley Feimer
Sitka, Alaska Approves Sales Tax Free Days

The City and Borough of Sitka Assembly has approved a resolution providing November 25th & November 26th, 2022. as sales tax free days. This holiday applies to all sales made within the City and Borough, except any sale of fuel, alcoholic beverages, tobacco products, marijuana, and any sale which is part of a continuing obligation […]

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Posted September 23, 2022 by David Armas
Puerto Rico Enacts Emergency Sales Tax Holiday

As a result of Hurricane Fiona, Puerto Rico has declared a state of emergency through Executive Order No. OE-2022-045. In response to this, the Treasury Department issued Administrative Declaration 22-07 which provides for a temporary exemption from the sales and use tax on “prepared foods”, “candies”, “carbonated beverages”, and “pastries”. The exemption period will begin […]

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Posted September 21, 2022 by David Armas
New Jersey Excludes Sign Installation from Capital Improvement Exemption

New Jersey recently enacted P.L. 2022, c. 97 which excludes the installation of signs from the existing capital improvement sales tax exemption. Sign installers must charge sales tax to their customers on the installation of all signs beginning October 1, 2022. However, the new law allows sign installers to purchase signs and materials for use […]

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Posted September 7, 2022 by Paul Ogawa
Minnesota Updates Withholding Certificate for Pension and Annuity Payments

The Minnesota Department of Revenue recently updated Form W-4MNP, Withholding Certificate for Pension and Annuity Payments. This form is used by distribution recipients to report taxpayer information and exemptions to the payors, who use the information for withholding tax purposes. While the form and payee instructions saw minor updates, the payor instructions saw substantial changes. […]

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Posted September 7, 2022 by Paul Ogawa
Utah Publishes Updated Withholding Tax Guide

The Utah State Tax Commission recently published an updated version of Publication 14, Withholding Tax Guide. This publication provides guidance and information for taxpayers relative to withholding tax payment and reporting, along with W-2 and 1099 reporting information. Note that this most recent release is effective as of January 1, 2023; the version effective for […]

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Posted August 30, 2022 by Bradley Feimer
Alaska: Ketchikan City Seasonal Sales Tax Rate Changes

The Ketchikan City Council recently approved ordinance No. 22-1949. The ordinance establishes a seasonal tax rate of 5.5%, from April 1 through September 30, on all retail sales, services, and rents subject to sales tax. Additionally, it lowers the tax rate to 3% for the period of October 1 through March 31. The rate changes […]

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Posted August 24, 2022 by Bradley Feimer
Colorado Exempts Feminine Hygiene and Incontinence Products Effective January 1, 2023

The State of Colorado recently approved HB 1055. This bill exempts “period products”, diapers and incontinence products from sales and use tax effective January 1, 2023. For the purposes of the new exemption, “incontinence products and diapers” means absorbent cloth or disposable products worn by humans and “period products” means consumer products used to manage […]

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Posted August 18, 2022 by Erik Wallin
Texas Court Rules in Favor of Local Government Over Sales Tax Sourcing Change

Texas Tax Rule 3.334 modified to the definition of “place of business” as it applies to local sales and use tax sourcing. It would have required that sales personnel be present at a location for it to be considered a “place of business” for sales tax purposes. If the location only housed a computer server, […]

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Posted August 18, 2022 by David Armas
Virginia Exempts Food, Diapers, and Feminine Hygiene Products

Virginia recently passed House Bill 90 which will exempt food purchased for human consumption and essential personal hygiene products beginning January 1, 2023. Food purchased for human consumption does not include alcohol, seeds and plants which produce food, or food sold by any retail establishment where the gross receipts derived from the sale of prepared […]

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Posted August 18, 2022 by Radhika Akhil
Nebraska Expands List of “Home Medical Supplies”

Nebraska recently updated its State Taxability Matrix with the Streamlined Sales Tax Governing Board to include a broader range of items which are considered exempt “home medical supplies.” Home medical supplies are defined as “supplies primarily and customarily used to serve a medical purpose which are appropriate for use in the home and are generally […]

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Posted August 18, 2022 by juliaolienyk
IRS Releases Revised Publication 1586

The IRS recently released a revision to Publication 1586, Reasonable Cause Regulations and Requirements for Missing and Incorrect Name/TINs. There were minor grammar and punctuation changes as well as updates to revision date and years. Additionally, the following notable changes were made: ·         Penalty rate tables updated to reflect new rates, including annual inflation adjustments […]

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Posted August 18, 2022 by juliaolienyk
Publication 1179 was Recently Updated for 2022

Publication 1179 was updated for 2022. Publication 1179 is the general rules and specifications for substitute Forms 1096-1098-1099, 5498, and certain other information returns. In addition to updates in year, bulletin number, and slight wording changes, the Publication also incorporates changes made to individual forms for 2022. There were no substantial updates to the publication […]

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