State Sales Taxes
Florida’s 2010 Sales Tax Holiday – August 13 through August 15, 2010
Florida’s 2010 Sales Tax Holiday begins tomorrow. No Florida sales tax or local option taxes (also known as discretionary sales surtax) will be collected on sales of books, clothing, footwear, and certain accessories selling for $50 or less, or on certain school supplies selling for $10 or less. This three-day tax exemption is in effect from 12:01 a.m., Friday, August 13, 2010, through midnight, Sunday, August 15, 2010. The sales tax exemption applies to each eligible book or item of clothing selling for $50 or less and to each eligible school supply item selling for $10 or less. The exemption. Read More.
North Carolina Sales and Use Tax Now Includes Digital Property
Effective January 1, 2010, North Carolina’s 5.75 percent state sales tax now includes certain digital property. For tax purposes, digital property includes any tangible property delivered or accessed electronically, either by direct download or by entering a digital code. The sales and use tax will cover a wide range of digital property: Audio works including podcasts and ringtones Audiovisual works including movies and live events A book, magazine, newspaper, newsletter, report, or another publication Photographs and greeting cards Under the new law, certain computer software delivered electronically or by load and leave is no longer exempt from sales and use tax. However, a new exemption has been. Read More.
Rising State Taxes Causing National Migration
As states face unprecedented budget shortfalls, pressure is mounting to fill those gaps by raising taxes and imposing new fees . Barron’s reports that rising costs are leading to an exodus of many state’s wealthier residents. As former CEO of South African Airways and co-founder of Bain Capital, Coleman Andrews has spent his career in some of the world’s biggest financial hubs. So, considering that he isn’t planning to retire soon, his current home state — Wyoming — might seem to be an unlikely choice. Why is he there? “Economics,” Coleman says. “A zero percent tax rate is better than a 10% tax rate.” As taxes surge. Read More.
The District of Columbia’s New Budget Includes Several Tax Increases
To close the gap in its budget, The District of Columbia recently passed the “ Fiscal Year 2010 Budget Support Emergency Act of 2009 ” (the Act). The legislation comprises chiefly of tax rate increases, including income, sales, property, tobacco and gas taxes. The budget also reduces costs by expanding the requirements to file electronically. Income Taxes Effective for taxable years beginning December 31, 2008, the legislation excludes from District taxable gross income cancellation of indebtedness (COD) income under IRC § 108(i). The Act also redefines “gross income” to align with the definition under IRC § 61 as of December 31, 2008, in reference to sales and excise taxes on certain motor vehicle purchases.. Read More.
North Carolina’s New Budget Includes Several Tax Increases
On August 7, 2009, North Carolina Governor Bev Perdue signed the state’s $19 billion budget bill , which includes nearly $1 billion in new taxes. The new taxes include added income tax surcharges, expanded and increased sales and use taxes, and increased excise and sales taxes on alcohol and tobacco products. The budget also seeks to increase taxable income bases by decoupling several provisions from federal economic stimulus packages. Personal Income Tax Surcharge For the 2009 and 2010 tax years, the new budget also imposes a personal income tax according to the following schedule:
Congress Looks to Limit State and Local Taxes on Cell Phone Usage
Trends show that more Americans are leaving landlines for cell phones, and Congress is examining how the federal government may be able to stop state and local governments from increasing cell phone tax rates above general business tax rates. Earlier this month, the House Judiciary Subcommittee on Commercial and Administrative Law held hearings on HR 1521, the Cell Tax Fairness Act of 2009 . Introduced by California Congresswoman Zoe Lofgren , the bipartisan measure was also recently introduced in the Senate.