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State and Local Tax Blog

SALT Blawg – State and Local Tax Blog

State and Local Tax ("SALT") blog issues require state and local tax knowledge. Chamberlain Hrdlicka's SALT Blawg (SALT Blog) provides exactly that knowledge with news updates and commentary about state and local tax issues.

You can expect to find relevant information about topics such as income (corporate and personal) tax, franchise tax, sales and use tax, property (real and personal) tax, fuel tax, capital stock tax, bank tax, gross receipts tax and withholding tax. SALT Blawg, offers tax talk for tax pros … in your neighborhood.


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Weekly Blog Update for Week of 2/10/2012 – Virginia Senate Committee and Arizona Senate Approve Amazon Legislation; Pennsylvania Upholds Drink Tax; Pennsylvania House Passes Marcellus Shale Legislation…and more.

by Jennifer Karpchuck

ARIZONA

Arizona Senate Approves Bill Aimed at Amazon.com

The Arizona Senate Commerce and Energy Committee approved a bill, SB 1338,which is designed to affect Amazon.com by expanding the definition of “retailer” to include companies that have warehouses or distribution centers in the state. Amazon.com currently maintains four (4) warehouses within Arizona.  As we noted in last week’s update, the Arizona Department of Revenue has issued a bill to Amazon.com alleging that it owes $53 million in uncollected taxes in the state.

CALIFORNIA

California Issues Summary of Property Tax Legislation Enacted in 2011

The California State Board of Equalization issued a Legislative Bulletin, which discusses property tax legislation which was enacted during 2011.  The legislation addresses various topics, such as exclusions, exemptions, and real property transfers.

COLORADO

Colorado DOR Issues Guidance on Statues of Limitations

The Colorado Department of Revenue has issued guidance regarding various statutes of limitations for different tax types.  Colorado’s income tax and wage withholding statute of limitations are based on the federal statute of limitations, while other taxes are defined purely by state law.

IDAHO

Idaho Tax Commission Issues Release Explaining Grocery Tax for Non-Filers

The Idaho Tax Commission issued a publication explaining that taxpayers who do not normally file because they do not make enough money to file an income tax return are still able to file for an $80 grocery tax credit for 2011.  The credit is an attempt to offset the state sales tax on groceries.

KANSAS

Kansas DOR Issues Guidance for Hotels, Motels and Restaurants

The Kansas Department of Revenue has issued guidance for hotels, motels, and restaurants under Publication KS-1540.  The Publication is meant to address the various business taxes that hotels, motels and restaurants are required to collect, including the retailers’ sales tax, transient guest tax and the liquor drink tax.  The Publication also discusses exemptions.

NEW JERSEY

Amazon.com Reportedly Seeks Sales Tax Exemption in New Jersey

According to NJBIZ.com, Amazon.com is reportedly seeking a sales tax collection exemption from the state of New Jersey in exchange for approximately 1,700 new jobs and a new distribution center in the state.  Any such proposal should expect to be met with similar opposition that other states presented with like deals have experienced from in-state brick-and-mortar businesses.

OKLAHOMA

Oklahoma Rejects Legislation Aimed at Removing Sales Tax Exemption for Newspapers

The Oklahoma Senate Finance Committee rejected legislation, SB 1098, which would have removed the sales tax exemption for newspapers and periodicals.

PENNSYLVANIA

Court Upholds Allegheny Drink Tax

During 2007, Allegheny County passed a Drink Tax, which imposed a tax on the sale at retail of liquor and malt and brewed beverages within the county.  Barrel of Monkey’s LLC challenged the legislation on its own behalf, as well as on behalf of all other liquor-licensed restaurants in Allegheny County subject to the Drink Tax.  However, the Pennsylvania Commonwealth Court has held that Allegheny County’s Drink Tax did not violate the “single subject” rule or the uniformity rule of the Pennsylvania Constitution, nor did it violate the equal protection clause of the U.S. Constitution.

Pennsylvania Governor Presents 2012-2013 Budget

Pennsylvania’s Governor announced his 2012-2012 budget, proposing continued phase-out of the Capital Stock and Franchise Tax, along with maintaining numerous tax credit programs and emphasizing job creation.

Pennsylvania House Passes Marcellus Shale Legislation

The Pennsylvania House passed legislation, HB 1950, that would impose a fee on natural gas drilling in the Marcellus Shale formation.  The Marcellus Shale formation is the largest domestic source of natural gas.

VIRGINIA

Virginia Senate Committee Approves “Amazon” Legislation

A Virginia Senate Committee unanimously approved legislation, SB 597, which would require Amazon.com to collect sales taxes if it builds fulfillment centers in the state.

WISCONSIN

Wisconsin Publishes Guide Addressing Withholding Tax Requirements

The Wisconsin Department of Revenue issued a publication, W-166, to address withholding tax requirements and changes in the state, effective for periods after October 1, 2009.

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