Sales Tax Changes Like the Weather

 

Staying on top of sales tax changes is a challenge, and the more jurisdictions you file in, the more challenging it becomes.

Sales tax not only changes like the weather, it also changes with the weather.

Right now, as Valentine’s Day approaches and Presidents Day sales hit the stores, two of the biggest bargain categories are winter coats and tax software. This is naturally the big month for winter gear; people who held off on buying their winter coats when temperatures dropped may give in now as prices fall to get the winter goods out of the stores before spring.

As for tax software sales, this is income tax software, not sales tax software, and it’s at its lowest price right now as consumers get ready to file their income tax returns by the April 15 deadline. Businesses that file sales tax returns often have to file every month, including February, as various states’ monthly, quarterly, and annual filing dates arrive. These deadlines don’t relate to the weather or the season. Someone always wants sales tax remitted.

But there is another weather and sales tax connection. Not only are retailers putting cold weather gear on sale, some states are having sales tax holidays in preparation for more harsh weather. Back to school sales tax holidays are fairly common, as states and counties hold back on sales tax for clothing and school supplies in preparation for the beginning of the school and college semesters. But states like Alabama and Lousiana are holding severe weather preparation sales tax holidays with tax exemptions for supplies like batteries and first aid kits. In Alabama, you can buy a non-electric can opener on the weekend of February 26th without paying sales tax. In Maryland, your heat pump or solar water heater gets a February sales tax holiday.

Sales tax filing software isn’t a seasonal item for most of us. You spend many days each month preparing for sales tax filing, so it makes sense to get the best choice for your business. Let us impress you with a free evaluation of your sales tax software needs.

Latest Articles

Sales Tax Software

Sales Tax Software

Sales tax calculations and filing can be done by hand. When you make a sale, you figure out whether the goods and services are taxable and whether you have nexus in the buyer's tax jurisdiction. More on that later. Once you've determined that you need...

read more
Customer Service and Your Sales Tax Solution

Customer Service and Your Sales Tax Solution

Sales tax is complicated. We've just gone through the annual flurry of back to school tax holidays, for example. If you're a remote seller of clothing, you probably sell mostly through retail. But you might have some direct to consumer sales. In some...

read more
Sales Tax Holidays for E-commerce

Sales Tax Holidays for E-commerce

A lot of our clients are manufacturers, contractors, or in some other industry that doesn't usually have to think much about sales tax. Retailers know they have to collect sales tax, and usually plan for it. We often hear from people who had no idea...

read more