Completely Compliance: Across America

by DMA Staff | Jan 11, 2017

Look Back
Alaska: In July 2016, two bills were introduced which propose the state implementing its own sales tax of 3% by January 2018. HB 5004 and SB 5004 will enter the Alaskan Department of Revenue into a Streamlined Sales and Use Tax Agreement. The rate would apply to sales of tangible personal property, rentals and services and will work in conjunction with the local sales taxes. The bills also address local municipality administration. The locals may continue administering their local tax until December 31, 2021, after which the state will administer the tax. The bills have yet to leave committee.

Idaho: If you file any return using the TAP system, all passwords expire after 90 days. Be prepared to receive notification requesting these changes. Please note if this account is shared by other users, you also need to coordinate the password changes with each user.

Illinois: SB 3047 provided changes on how medical devices are treated in the state. Any FDA Class III medical devices used for cancer treatment and any components or accessories for those devices are taxed at 1% instead of 6.25%. The bill became effective August 19, 2016.

Indiana: The state has launched a new site called INBiz. The new site replaced the business registration form BT-1 and is now required to register via INBiz. The online process covers a registration with the Secretary of State, Department of Revenue and the Department of Workforce Development. In addition to registration, you can file reports and request documents.

Louisiana: Twenty parishes were designated federal disaster areas. As such, the state issued extensions on tax filing if homes, places of business or tax records were located in any of those parishes. For sales, severance and excise taxes due on or after August 11, 2016, and on or before October 31, 2016, the extended deadline was November 15, 2016. The state also waived penalty.

New York: The state broadened its tax base on taxable alcoholic beverages. Chapter 60 of the Laws of 2016 included cider with the alcoholic beverages tax as well as an exemption if the beverage is part of a tasting.

By 2017, remote sellers may have to register and collect tax in the state if Rule 1320-05-01-.129 is processed. Out-of-state sellers making sales in excess of $500,000 will need to register by January 1, 2017 and begin collecting taxes by July 1, 2017.

Texas: The Comptroller’s office has been working on redesigning and rebuilding their website which launched in September 2016. The state is offering a video guide on how to prepare for the transition. There is also a short list of improvements being made.

Vermont: Effective October 1, 2016, the city of Brandon levied a 1% Local Options Sales Tax. In addition, the city of Montpelier also levied a 1% Local Options Meals, Rooms and Alcoholic Beverages Tax.

Wisconsin: There are several changes which occurred in Wisconsin. First, in regard to the My Tax Account website (MTA), similar to Minnesota, a two-step authentication process was implemented by which a code is sent to whomever email and/or mobile phone is associated with the account. This code will need to be input into the login before you can proceed to the website. More instructions are available in the July 2016 Tax Bulletin. Also with Wisconsin, the county of Sheboygan will levy a 0.5% county tax effective January 1, 2017. Finally, mentioned as tentative in previous newsletters, the City of Rhinelander has officially adopted a Premier Resort Tax of 0.5% effective January 1, 2017.

Chicago, IL: The city is offering a voluntary disclosure offer for a limited time specifically for Amusement Tax. The offer is targeting paid television programming, to include satellite TV. VDA applications must be submitted by December 31, 2016.
Also in Chicago, the City Council approved a new Checkout Bag Tax which will impose a $0.07 per checkout bag sold or used in the city. Note that the city already has in place a Plastic Bag Ordinance which bans plastic bags for chain stores and franchises.

Florida: Due to a system upgrade, the state has a new website and email structure. The new site is and any contacts with the state will now have an email address of instead of

Looking Forward
California: Per Proposition 30, the 0.25% temporary rate increase will expire December 31, 2016. Therefore the effective rate beginning January 1, 2017 will be 7.25% instead of 7.5%. This rate does not include the various district taxes.

Georgia: The state has adopted Rule 560-12-2-.21 Itemization of Tax. The rule will provide updated requirements for reporting and collecting tax, to include rules on tax absorption, invoice itemization and tax separation. Written notification to the purchaser is required on some items.

Louisiana: The Louisiana TAP online filing system will move to a two factor authentication system which means a code will need to be input upon the first login and the “Remember this computer” activation button selected so you will not have to input another code going forward.

Mississippi: Several cities have levied special taxes since the last newsletter. Meridian, Mississippi now has a 2% special tax on gross proceeds of sales by restaurants within the city limits. This was effective November 1, 2016. Similarly, Carthage, Mississippi has levied a 2% tax on hotel/motel room rentals in addition to the gross proceeds of restaurant sales. This was effective December 1, 2016. Finally, Pascagoula, Mississippi will levy a 2% tax on gross proceeds of sales of restaurants and will be effective January 1, 2016 with a repeal date of July 1, 2018.

New Jersey: Effective January 1, 2017, five Urban Enterprise Zones (UEZ) will expire. Bridgeton, Camden, Newark, Plainfield and Trenton will no longer be collected at the reduced rate. UZ-2 licenses will be replaced with ST-2, Sales Tax Certificate of Authority and exemption certificates Form UZ-5 may no longer be used. The final UZ-50 return is for December due January 2017.

North Carolina: The definition of repair, maintenance and installation services has been expanded. Any person whose only business activity is repair, maintenance and installation is considered a retailer and is liable for sales and use tax. Also the definition of the service is expanded to include both real property and digital property. The new definitions are effective January 1, 2017.

Wyoming: A bill has passed committee which would require remote sellers to register to collect and remit sales tax if the seller’s gross revenue exceeds $100,000 in a calendar year or the seller has conducted 200 or more separate transactions into the state.

Please do not hesitate to contact your local DMA office should you have specific questions or requests.

Completely Compliance is a quarterly e-newsletter exclusively for clients and employees of DMA. It is intended to provide relevant sales/use tax news, events, and information. As such, this e-newsletter should be used for general informational purposes only, and not as a substitute for consultation with professional tax, legal, or other competent advisers. Before making any decision or taking any action based upon information contained in this e-newsletter, you should consult with a DMA professional.