On October 13, 2017, the Pennsylvania Department of Revenue issued Sales and Use Tax Information Notice 2017-01, which is intended to help taxpayers engaged in timbering operations as a business operation and vendors selling property or services to such taxpayers. Last year the General Assembly, under Act 84 of 2016, amended Article II of the
The Annual McNees SALT Fall Seminar! A Day on Sales and Use Tax!
Please join the McNees SALT Group on October 20, 2017 at the Hollywood Casino in Grantville, Pennsylvania for “A Day on Sales and Use Tax for Pennsylvania Businesses.” Full Agenda Here The seminar, which will begin at 8:30 a.m. with breakfast and conclude at 4:25 p.m., will feature two distinguished guest speakers, Lauren A. Zaccarelli,
Commonwealth Court Rules in Favor of Taxpayer in Case Involving Scope of “Building Machinery and Equipment” Exemption
In Green Acres Contracting Company, Inc. v. Commonwealth, 81 F.R. 2013 (6/13/2017), the Commonwealth Court, en banc, reversed a decision issued by a three-judge panel of the court in August 2016 regarding the scope of the term “guardrails” in the statutory definition of exempt “building machinery and equipment” (“BME”). The panel had determined that nuts,
Save the Date! Pennsylvania Sales and Use Tax Seminar (October 20, 2017)
On October 20, 2017, the McNees State and Local Tax team will present a full-day seminar on Pennsylvania Sales and Use Tax. Always a popular offering, this seminar will offer CPE credits and will be held at the Hollywood Casino in Grantville, Pa. Don’t gamble with your knowledge of Pennsylvania tax; rather, let the McNees
Department of Revenue Announces Major Procedural Changes for Large Sales and Use Tax Refund Claims
In Sales & Use Tax Bulletin 2017-01 (April 10, 2017), the Pennsylvania Department of Revenue announced major changes in its procedures for the handling of sales and use tax refund petitions. The Bulletin provides that “large” refund requests may be addressed through the field audit process. This will be accomplished by allowing the Board of
Department of Revenue Issues Revised Ruling on Taxability of Software Support Services
As discussed in prior posts, Sales and Use Tax Ruling No. SUT-17-001, issued by the Pennsylvania Department of Revenue in February, raised concerns that the Department’s interpretation of the term “support” in Act 89 of 2016 exceeded the scope of the taxing statute. In response to complaints that its original ruling was overbroad, the Department
Department of Revenue Removes Software Support Services Ruling from Website
As discussed in prior blog posts, Ruling No. SUT-17-001 issued by the Pennsylvania Department of Revenue in February raised concerns that the Department’s interpretation of the term “support” in Act 89 of 2016 exceeded the scope of the statute. Act 89 imposed tax on digital products, and on “maintenance, updates and support” for such products,
Pennsylvania Supreme Court – Revisiting Uniformity Clause
Less than six months ago the Pennsylvania Supreme Court in Mount Airy #1, LLC v. Pennsylvania Dep’t of Revenue, 2016 Pa. Lexis 2174 (Pa. Sept. 28, 2016), held that the Pennsylvania Race Horse Development and Gaming Act’s “local share assessment” (a tax imposed upon slot machine revenue) violated the Uniformity Clause of the Pennsylvania
Bloomberg BNA Article Discusses Pennsylvania’s Recent Ruling on Software Support Services
Reproduced with permission from Daily Report for Executives, 35 DER (Feb. 23, 2017). Copyright 2017 by The Bureau of National Affairs, Inc. (800-372-1033) http://www.bna.com.
Daily Report for Executives™
February 23, 2017
Sales and Use Taxes
- Pennsylvania Deems All Software Support Now Taxable
BNA Snapshot
- Had been tax-exempt since 1997
- Applies to all
Department of Revenue Issues Letter Ruling Addressing Taxability of Support Services to Canned Software
The Pennsylvania Department of Revenue has issued a letter ruling addressing the extent to which it considers support services to canned computer software to be subject to Pennsylvania sales and use tax. See Ruling No. SUT-17-001.
Effective August 1, 2016, Pennsylvania’s sales tax statute was amended to impose tax on an array of digital