The Tax Exchange - September 2017
In response to the devastation from Hurricane Harvey, the IRS, Texas and other states have provided guidance on extended filing deadlines. Texas taxpayers should consider a number of sales and use tax benefits created to help taxpayers rebuild and repair their businesses after natural disasters.
Most commonly impacting drop-shipment transactions, “double throwback” of receipts to the sales factor refers to a scenario where a taxpayer is not subject to tax in both the state where goods are shipped by a vendor and the state where the customer is located.
When the 2017 legislative session kicked off in January, states were not yet discussing tax amnesties as a mechanism to relieve budget deficits and revenue shortfalls.