Court case could affect sales tax paid for online purchases made pre-Wayfair in MA
Keep an eye on any online purchases you’ve made in the past several years in Massachusetts. They may end up being subject to retroactive sales and use tax pending a state Supreme Judicial Court decision.
The state’s high court has accepted an appeal request from an online retailer in a case to define what establishes the “physical presence” guidelines required to establish nexus in a state, pre-Wayfair.
Previously, the Dept. of Revenue claimed the retailer had to collect tax on purchases made by customers in Massachusetts because it placed “cookies” on their internet devices prior to purchase and also allowed them to use apps. Those cookies and apps gave the retailer physical presence in the state, the department said.
While the state’s tax appeals board sided with the retailer, saying apps and cookies didn’t establish physical presence for tax purposes, the department submitted another appeal to an appeals court. This prompted the retailer to submit the case to the higher court, and the state supreme court accepted the appeal.
We’ll keep you posted on the decision.
- Share on
Free Training & Resources
Further Reading
The IRS is about to put all of the the funding, personnel and technology advantages it now enjoys to use. Count on an upswing in audits of ...
Another April 15 came and went, leaving many of us poorer and grumbling about government spending. For business owners and the CFOs and con...
The last few months of weather’s taken a toll on homes and businesses in many parts of the country. To lighten the load a bit, the IR...
Who says Democrats and Republicans can’t agree? A few weeks back, Donald Trump advocated for eliminating taxes on tips of workers in ...
The Internal Revenue Service has extended corporate, business and individual tax deadlines out to June 17 for San Diego, Detroit and dozens...
The worst of the COVID-19 shutdown measures and George Floyd riots peaked less than three years ago. But the effects continue to rattle sta...
