Regulatory Analysis
The state of Virginia has exempted food for human consumption and essential personal hygiene products from state sales tax. Previously, products fitting these descriptions were subject to a reduced rate of 1.5%. Beginning on January 1, 2023, these products will be exempt from state sales tax, but may still be subject to a 1% local […]
Since June, New York has implemented a Fuel Tax Holiday. This holiday exempted sales of motor fuel and diesel motor fuel from New York state sales and use tax and suspended the prepaid sales tax and several fuel excise taxes. The exemption also extended to the Metropolitan Commuter Transportation District’s sales and use taxes. The […]
Enacted July 6, 2021, HB 1162 establishes a $0.10 “carryout bag fee” in the state of Colorado. The fee applies to paper bags as well as single-use plastic carryout bags provided at the point of sale of certain stores effective January 1, 2023. Locals may establish a higher fee by ordinance or resolution beginning July […]
The Lone Tree City Council approved a temporary sales and use tax rate reduction of 0.5% for the period of December 1, 2022, through January 1, 2023. During the mentioned period, the rate is reduced from 2.8125% to 2.3125%. The Lone Tree business tax page may be found here.
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 […]
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.
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 […]
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.
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 […]
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 […]
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 […]
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 […]
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 […]
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, […]
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 […]
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 […]
Effective October 1, 2022, Denver, Colorado ordinance 22-0577 provides an exemption for incontinence products and diapers from sales and use tax. The ordinance defines, “incontinence products and diapers” to mean an adsorbent cloth or disposable product worn by humans. Further legislative details may be found here.
On August 5, 2022, Indiana Governor Holcomb signed Senate Bill 2 providing upon passage an exemption for children’s diapers from the state’s gross receipts tax. “Children’s Diapers” is defined as disposable or reusable diapers marketed to be worn by children. Further information concerning the bill can be found here.