State and Local Taxes

The Multistate Tax Foundation (MTF) recently issued its 2015 State Business Tax Climate Index report, a benchmarking report that enables state governments and others to compare their tax systems with other states. Ideally, those states that rank ...

[This is part of a special series of articles designed to maximize tax benefits and minimize tax pitfalls at the end of the year.] The alternative minimum tax (AMT) is often referred to as a “stealth tax” because it sneaks up on unsuspecting taxpayers. But you’re not doing your job well if your clients are caught […]

While almost everyone has heard of sales tax, many business owners are unaware that most states have a “use tax.” State laws treat sales and use tax as two separate taxes, but in reality they act in concert to complement each other.

You probably know the income, sales, and use tax rules in your own state and local jurisdictions without having to do much research. But what if a new client walks in the door and presents you with a tax situation in a state where you have not practiced b

A Northwest Arkansas software company earlier this month received one of only 15 sales tax-related patents ever issued by the U.S. Patent and Trademark Office.

The sales and use tax audit could possibly be one of the biggest challenges that your business clients will face. If you are working with a client who has been selected for an audit, you are now tasked with proving that the client remitted the correct amount of sales tax to the state Department of Revenue (DOR) agency. You will gain confidence about the pending sales tax audit if all documents have been prepared properly. The following tips will help you better prepare for the dreaded sales tax audit.

Historically, a business' gross revenues follow seasonal patterns and even a small change in gross revenue should result in a small change in the associated accounts. In an attempt to discover why one established contractor was selected for audit, I reviewed their sales tax filings and created the below table.

State tax collections fell short of expectations by $281 million last year, providing potential difficulties in the future for the state budget and immediate fodder for this fall's tight governor's race.