State and Local Tax (SALT) attorney Bruce Ely was quoted in Bloomberg BNA on the key findings from Bloomberg BNA’s 2017 Survey of the State Tax Departments. The survey addressed the number of remote sales tax bills that appeared during the 2017 legislative session as many state lawmakers sought to level the playing field for local merchants who have to contend with the Supreme Court’s 1992 decision in Quill Corp. v. North Dakota. The decision precludes states from imposing sales and use tax collection obligations on vendors without a physical presence in-state.
Several states introduced bills during the 2017 legislative session to enact market-based sourcing—including Arkansas, Montana, New Mexico, North Carolina, and Oregon.
“No two snowflakes are alike,” said Ely, referring to the state-specific nuances for defining a respective market for purposes of applying their market-based sourcing rules. Some experts agree that since businesses maintain records differently, problems can arise when their record-keeping systems don’t align with a state’s standard.
The complete article, “Gray Areas in State Tax Policies: Bloomberg BNA Survey,” appeared in Bloomberg BNA on May 26, 2017. (login required)