Sales Tax

This unique environment is a great place to get information on the latest developments, trends and legislation on the tax provision process, research, reporting and compliance.

Of all the many ways cloud computing can make the work of the corporate tax department easier, sales tax compliance might seem minor — but in fact, Software as a Service (SaaS) is ideal for this area of taxation.

CorpSystem SureTax Telecom provides accurate tax rates, content and precise jurisdiction information. It also speeds sales and use tax calculation with its cloud computing technology.

The complexities of manufacturing translate into complex tax returns, schedules and elections. This is reinforced by the Corporate Manufacturing Survey, a Web-based survey conducted among manufacturing corporations from more than 20 industries. Data was collected over a two-week period starting on March 3.

With revenues slumping and budgets gaping at the seams, states are cracking down on sales tax noncompliance. The author of CCH Expert Treatise Library: State Sales and Use Taxation, Joe Moffa, points out six trends corporate tax departments should follow:

With all the variables involved in sales and use tax calculations and filing — and all the penalties for noncompliance — automation of any kind makes tax compliance easier. Another way to gain efficiency is to move the process from a premise-based software application to a cloud-based, Software as a Service (SaaS) solution. Kathy Drommerhausen, Product Marketing Manager at CCH, explains why:

Companies must file income tax returns and collect sales tax in every state in which they do business — but the accepted definitions of what qualifies as “doing business” and what makes a corporation taxable are in flux.

States seeking opportunities to enhance revenues are aggressively trying to expand the definition of nexus to maximize sales tax collection. In a recent webinar hosted by Business Finance magazine, Connie Eisenberg, CCH Senior Editor, General Sales and Use Tax, and David J. Rubenstein, CPA, CCH Manager of Corporate Professional Services, Telecommunications and Utility Tax, explored the trends in determining nexus and their implications. Here are some of their main points: