KBF Sales and Use Tax Newsletter – 4th Quarter 2023

KBF’s quarterly newsletter updates clients on sales and use tax news, developments, and trends from around the country.

Several key sales and use tax updates emerged in the final quarter of 2023. Starting in January 2024, Georgia will start taxing digital products such as downloadable music and ebooks. Meanwhile, Iowa ended exemptions for certain business computer purchases. Missouri saw a court victory for a Walmart subsidiary on equipment taxes, while New Mexico clarified digital advertising taxes. Nevada declared credit card processing fees taxable under certain conditions, and Rhode Island streamlined annual tax filings.

Tennessee clarified exemptions for single-member LLCs taxed as corporations, and Texas ruled biometric ID services non-taxable while maintaining the 1.75% single local use tax rate for remote sellers. Lastly, Washington deemed sales to Canadians delivered within the state as taxable, and Wisconsin boosted the retailer discount for timely tax returns.

Read more about these updates by downloading the file here. Please note that this is only an overview. Consult a tax professional for specific guidance.