Episodes
Thursday Aug 12, 2021
U.S. State and Local Tax for Foreign Companies
Thursday Aug 12, 2021
Thursday Aug 12, 2021
In this episode, Judy Vorndran and Stacey Roberts, from TaxOps’ SALTovation Team, talk about what foreign entities or companies should keep in mind as they do business in the U.S. such as filing duties and nexus triggers that states can impose.
What You Will Discover:
[01:20] Why states don’t have to follow the U.S. treaties for income tax and sales tax
[03:37] How to comply when states request a copy of federal income tax return
[04:34] Other non-income based taxes don’t have treaty protection
Quotables:
“Just as a reminder, right, treaties are income tax only. And it’s maybe not quite half, maybe over a half of the states actually do not follow treaties, which might be a surprise.” - Stacey Roberts [03:20]
“You can never really count on looking at our federal government when you are deciding to do business in America and think you’re one and done. ‘There’s a treaty, and I have nothing else I have to do in America.’” - Judy Vorndran [06:27]
Thursday Aug 05, 2021
What is Nexus: A Primer
Thursday Aug 05, 2021
Thursday Aug 05, 2021
In this episode, Judy Vorndran and Stacey Roberts, from TaxOps’ SALTovation Team, provide some things to think about with respect to nexus and what that means from a state and local tax perspective.
What You Will Discover:
[00:32] What is nexus and what taxpayers need to know
[02:46] What is affiliate nexus
[03:36] Stacey and Judy’s reactions to sales tax changes post-Wayfair
[07:22] Why the states can tax this
Quotables:
“From a state income tax perspective, those kind of economic nexus rules have been in place for years, and so I’m kind of not surprised that sales tax has finally caught up.” - Stacey Roberts [03:58]
“I think if you can send an invoice and get something to a customer out of your own state or out of your own country, why can’t you tax them?” - Judy Vorndran [07:34]
Thursday Jul 29, 2021
Use Tax
Thursday Jul 29, 2021
Thursday Jul 29, 2021
Stacey Roberts and Connie Zoerink, from TaxOps’ SALTovation Team, wrap their mini-series on transaction taxes by discussing use tax. They explain how it differs from sales tax and its reporting and licensing requirements.
What You Will Discover:
[00:56] The difference between sales tax and use tax
[02:04] Reporting requirements for the purchaser
[04:08] Does shipping affect the tax rate
[07:11] Remediation options for noncompliance
[08:33] Licensing and reporting requirements
Quotables:
“This is a type of tax that maybe may not be top of mind for taxpayers out there, but definitely one that can maybe be a surprise unfortunately under audit where we tend to see that come in as a surprise, or inquires from the state.” - Stacey Roberts [00:19]
“A lot of times, the vendor will not charge tax. So if they did not charge tax on an item that’s actually taxable in your jurisdiction, then you need to accrue and self-remit the use tax to the jurisdiction.” - Connie Zoerink [01:29]
Thursday Jul 22, 2021
Unclaimed property
Thursday Jul 22, 2021
Thursday Jul 22, 2021
Stacey Roberts and Connie Zoerink, from TaxOps’ SALTovation Team, continue their mini-series about transaction taxes with talk about unclaimed property. While unclaimed property is not a tax, it does fall into the state and local tax area.
What You Will Discover:
[00:47] What is unclaimed property
[01:50] Reporting requirements
[03:39] States can audit unclaimed property
[04:55] Reporting deadlines
[06:01] Where to go to find out if you have money owed to you
Quotables:
“Unclaimed property is actually not a tax, but it typically falls in the state and local tax area just because it’s something that is reportable or claimable from every state.” - Connie Zoerink [01:29]
“Like you said, it’s not a tax, but it’s a reporting that taxpayers really need to be aware of, and in some cases, this could be low-hanging fruit for some states.” - Stacey Roberts [04:42]
Thursday Jul 15, 2021
Business personal property tax
Thursday Jul 15, 2021
Thursday Jul 15, 2021
In a mini-series about transaction taxes, Stacey Roberts and Connie Zoerink, from TaxOps’ SALTovation Team, talk about business personal property tax and share what taxpayers should consider and remember about this tax.
What You Will Discover:
[00:45] What is business personal property tax
[01:46] Assessment dates based on county
[02:12] If lease property counts
[02:43] Disclosure options
[04:12] Deadline for reporting
Quotables:
“I think something that I’ve seen over time that might trip up taxpayers is the fact that there are certain locations or jurisdictions where inventory is reportable, and I think that can be surprising.” - Stacey Roberts [03:49]
“Due dates are all over the board unfortunately for taxpayers, so you kind of have to be on top of all of that, but typically they’re anywhere from March to May timeframe.” - Connie Zoerink [04:20]
Monday Jul 05, 2021
Multistate Tax Commission with Helen Hecht
Monday Jul 05, 2021
Monday Jul 05, 2021
In this episode of the SALTovation podcast, we speak with Helen Hecht, Uniformity Counsel at the Multistate Tax Commission (MTC), and our own Judy Vorndran. Helen provides insight into how the MTC works towards its mission and her role as uniformity counsel.
Questions asked and answered in this Episode:
What is the progression of Helen’s career and how did she end up at the MTC?
Can you give a high-level overview of what the MTC is and its purpose?
What is she doing as uniformity counsel?
How are the states going to administer a digital tax on advertising?
What You Will Discover:
[00:47] The path that brought Helen to the MTC
[13:14] An overview of what the MTC is and its purpose
[20:58] Early success with states’ adoption of Uniform Division of Income for Tax Purposes Act (UDITPA)
[23:43] What she does as uniformity counsel
[31:08] Their approach to assimilate the laws
[33:54] How the states plan to administer a digital tax on advertising
[42:49] The new standards due to the Wayfair decision
[47:30] An unusual situation in which MTC has a solution
[51:28] Why Wayfair decision was great for state and local practitioners
Quotables:
“If I can say one thing to people starting out in this field, don’t discount working in government, because some of the work can be the most fun you’ll ever do.” - Helen Hecht [08:49]
“Technology is a huge tool for everybody. We would not be where we are today if it weren’t for the advances in technology.” - Helen Hecht [12:19]
“It’s interesting though. You’re organized and you have ideas, but you have no teeth, right? There’s no bite to your will to make people agree.” - Judy Vorndran [20:45]
“Sometimes you have to stop and say, ‘Quit trying to fit the square peg in the round hole, and let’s figure out if there’s a different way to do this. And why are we trying to do it?’” - Helen Hecht [37:14]
“Identify the right problem. YOu know, that’s what they always tell you when you’re trying to solve a problem. The most important thing is to make sure you identify the actual problem.” - Helen Hecht [41:24]
Relevant Links:
The Multistate Tax Commission: https://www.mtc.gov
Helen Hecht on LinkedIn: https://www.linkedin.com/in/helen-hecht-2406ab1a
Thursday Jul 01, 2021
A brief state rundown: Texas
Thursday Jul 01, 2021
Thursday Jul 01, 2021
Meredith Smith, Tram Le and Stacey Roberts, from TaxOps’ SALTovation Team, talk about the changes associated with the PPP loans and franchise tax sourcing in Texas and how that might impact their clients.
What You Will Discover:
[00:48] How Texas is handling PPP loans
[02:55] What they have learned about some franchise tax sourcing
[04:29] How will these rules be implemented?
Quotables:
“I think the real big thing here is that the comptroller basically is revising the rules and clarifying what they really mean and how the receipts are being sourced, right? The big kicker here is that most of these changes are retroactively effective and most of these changes are going to be effective as of January 1, 2008.” - Tram Le [03:59]
“I think that this is either an opportunity for some taxpayers or it could actually cost some taxpayers some money, depending upon whether they’re in-state or out-of-state and applying the rules. And you also have to take into consideration that we’ve got a statute of limitations issue.” - Stacey Roberts [06:08]
Thursday Jun 24, 2021
Maryland's Ad-tax: Going Fishing for Revenue?
Thursday Jun 24, 2021
Thursday Jun 24, 2021
In this episode of the SALTovation podcast, Alexander Korzhen and Stacey Roberts, from TaxOps’ SALTovation Team, talk about the state of Maryland’s new digital advertising tax that is scheduled to go into effect in 2022. Alex and Stacey discuss what they know about this new tax so far and what it could mean for taxpayers.
What You Will Discover:
[00:30] What is this new tax
[04:37] The practitioner community’s response
[05:21] How it compares to international digital taxes
[07:36] Other states that have similar proposed legislation
Quotables:
“It’s startling in its vagueness, which is why it has received so much feedback and been surrounded in controversy. ” - Alexander Korzhen [00:49]
“That broad definition, I would imagine there’s a lot of taxpayers out there that could get caught up in it, and they may not necessarily know.” - Stacey Roberts [04:29]