News for Iowa Businesses: Study.com’s Online Learning Platform is Subject to Sales Tax as SaaS

By: Betsy Goldstein, SALT Manager At a glance The main takeaway: There has been much debate across states regarding the taxability of software and services accessed online. Impact on your business: The Iowa Department of Revenue’s ruling regarding Study.com, and the taxability of its online learning platform as SaaS, has major implications for businesses that…

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The Liquidation Exception to Business Income: When It Does and Doesn’t Apply

Some states provide an exemption to business income for liquidations and will instead classify gains from such transactions as nonbusiness income. However, the specific requirements for claiming the liquidation exemption must be satisfied, and states are likely to apply a narrow interpretation to those requirements. By: Betsy Tuck, State and Local Tax Manager at Aprio…

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Tennessee Ruling Concludes that Certain Audio and Visual Services Constitute Taxable Digital Products

A recent Tennessee Revenue Ruling explains the application of the state’s sales tax on digital products to the taxpayer’s audio/visual services.  Businesses should consider whether their products/services might be taxable as digital products. By: Betsy Tuck, SALT Manager States traditionally assess sales tax on tangible personal property, including intellectual property sold via tangible mediums, such…

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Michigan Supreme Court Rules That Services Are Sourced to Location of Performance for Local Income Taxes

michigan state capital

Sometimes, the application of a state tax rule can hinge on the interpretation of one word, which was the case when the Michigan Supreme Court was asked whether “services rendered” meant “services performed” or “services delivered” for apportionment purposes under Detroit’s income tax. By: Betsy Tuck, SALT Manager In the February 2018 issue of the…

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