California Issues New Ruling on Sourcing Service Revenue, Revokes Prior Guidance

By: Aspen Fairchild, SALT Senior Associate At a glance: Key takeaway: In March, the California Franchise Tax Board issued a legal ruling that revises its interpretation for sourcing service revenue for California apportionment and revokes prior guidance. Impact on your business: The ruling impacts prior apportionment positions as well as nexus, since California imposes an…

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New Indiana Ruling Puts a Spotlight on the Sourcing of Product Sales vs. Services

By: Aspen Fairchild, SALT Associate At a glance: The main takeaway: We revisit a recently reversed Indiana case that highlights the importance of product sales versus services for state income tax purposes. Impact on your business: The ruling underscores the complexities surrounding the application of correct apportionment sourcing rules for taxpayers that provide services closely…

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