TaxByte: Maryland to Begin Taxing More Digital Products in March, 2021
Effective March 15, 2021, Maryland will begin taxing various digital products including videos, e-books, audiobooks, ring tones, and more. Governor Hogan's veto of HB 932, which imposed Maryland's 6 percent sales and use tax on digital goods, such as digital code,...
TaxByte: Wisconsin Eases Economic Nexus Requirements by Removing 200 Transaction Threshold
Wisconsin has revised its economic nexus law and has eliminated the requirement that businesses collect and remit sales tax if their only presence in the state is having more than 200 transactions per year. This is great news for small businesses who crossed the 200...
TaxByte: Puerto Rico Enacts Marketplace Facilitator Legislation with Regulation No. 9237
On December 8th, 2020 Puerto Rico approved Regulation No. 9237 which enacted marketplace facilitator laws. These laws require (1) marketplace facilitators to collect and remit sales tax on behalf of marketplace sellers and (2) establishes that marketplace sellers are...
TaxByte: Illinois Clarifies Taxability of Web-Based Services (APIs, Applets, Desktop Agents)
In a recent general information letter, Illinois clarified that if a provider of a service provides to the subscriber an API, applet, desktop agent, or a remote access agent to enable the subscriber to access the provider’s network and services, the subscriber is...
Chicago Clarifies Economic Nexus Requirements and Safe Harbor in a Post-Wayfair World
Chicago has clarified that a business will only need to collect and remit sales tax in Chicago if they make more than $100,000 in sales in the most recent four consecutive calendar quarters. Businesses will not have nexus in Chicago simply by crossing the economic...
Pennsylvania Exempts Non-Medical Masks and Face Coverings from Sales Tax
The Pennsylvania Department of Revenue has issued a sales tax bulletin regarding the sales tax treatment of non-medical masks and face coverings. Prior to the coronavirus (COVID-19) pandemic, non-medical masks and face coverings were subject to sales tax because...