The Ohio Board of Tax Appeals held that certain financial authorization services, Debit Authorization as described below, are not taxable automatic data processing processing (“ADP) or electronic information services (“EIS”)....more
12/12/2024
/ Appeals ,
ATMs ,
Automated Systems ,
Bank Service Providers ,
Debit and Credit Card Transactions ,
Non-Taxable Service Transactions ,
Payment Systems ,
Remand ,
Sales & Use Tax ,
Tax Appeals ,
Tax Exemptions
From understanding how businesses are taxed to navigating changes in Ohio tax regulations, it’s important to be aware of potential tax hurdles and how to proactively avoid them. This article from Buckingham, Doolittle &...more
12/2/2024
/ Commercial Activity Tax ,
Corporate Taxes ,
Eligibility ,
Income Taxes ,
Local Taxes ,
Pass-Through Entities ,
Property Tax ,
Regulatory Reform ,
Regulatory Requirements ,
State and Local Government ,
State Taxes ,
Tax Credits ,
Tax Incentives ,
Tax Reform
Generally, in Ohio, sales of tangible property are taxable unless an exemption exists, whereas services are generally nontaxable unless specifically enumerated as taxable under the Ohio Revised Code. However, Ohio has many...more
Ohio Governor Mike DeWine announced an extension for the state’s 2024 sales tax holiday, which will take place from 12 a.m. on Tuesday, July 30th, through 11:59 p.m. on Thursday, August 8th....more
When your business receives an audit engagement letter, don’t panic. While an audit may be time-consuming, costly, and invasive, having an experienced advocate on your side to navigate you through the process and represent...more
In Ohio, sales of tangible personal property are presumed taxable unless an exemption exists. On the other hand, services are presumed nontaxable unless specifically enumerated as taxable under Ohio’s Revised Code. Many of...more
The Tax Relief for American Families and Workers Act of 2024 (H.R. 7024) would terminate the employee retention credit (ERC) for claims filed after January 31, 2024. Initially authorized by the CARES Act to incentivize...more
1/23/2024
/ CARES Act ,
Coronavirus/COVID-19 ,
Corporate Counsel ,
Employee Retention ,
Filing Deadlines ,
Income Taxes ,
Paycheck Protection Program (PPP) ,
Popular ,
Relief Measures ,
Small Business ,
Tax Credits ,
Tax Relief ,
Tax Returns
Preparing for significant changes to Ohio commercial activity tax for 2024 – Majority of taxpayers will no longer be subject to CAT following increases in annual exclusions.
Ohio’s Budget Bill (H.B. 33) significantly...more
Ohio Commercial Activity Tax has an exclusion from gross receipts for property or money received or acquired as an agent in excess of the agent’s commission fee or other reimbursement. R.C. 5751.02(F)(2)(l). Aramark Corp.,...more
1. EXEMPTIONS -
A. Equipment Used in Production of Crude Oil and Natural Gas:
Stingray Pressure Pumping, LLC v. Harris, Slip Opinion No. 2023-Ohio-2598. Reversing the BTA, the Court determined five categories of...more
Ohio’s Biennial Budget Bill (H.B. 33) was signed into law by Governor DeWine on July 4, 2023. The Bill focused on investments to boost Ohio economic development, education, and healthcare, but also included significant cuts...more
I. EXEMPTIONS -
A. Transportation for Hire:
Battle Axe Construction v. McClain, Ohio BTA Case No. 2022-559 (October 11, 2022). Exemption denied for truck not used primarily to transport property belonging to others....more
2/17/2023
/ Bad Debt ,
Income Taxes ,
IRS ,
Policies and Procedures ,
Sales & Use Tax ,
State and Local Government ,
Tax Audits ,
Tax Liability ,
Tax Litigation ,
Tax Returns ,
Taxation
The employee retention credit (ERC) can be a tremendous boon for eligible employers to claim substantial cash refunds for keeping their employees on the payroll during the COVID-19 pandemic. To qualify, the employer must have...more
The Ohio Supreme Court has ruled that NASCAR’s broadcast, media, licensing, and sponsorship revenue is not subject to Ohio’s Commercial Activity Tax (“CAT”). Ohio’s CAT statute situses gross receipts from intellectual...more
The OSBA Sales/Use Tax Subcommittee Report discusses recent developments concerning the scope of taxable services, as well as the federal preemption of taxation on internet services which were previously taxable in Ohio....more
The OSBA Sales/Use Tax Subcommittee Report discusses recent developments concerning the scope of taxable services, as well as the federal preemption of taxation on internet services which were previously taxable in Ohio....more
9/27/2021
/ Advertising ,
Employment Tax ,
Excise Tax ,
Responsible Person Liability ,
Sales & Use Tax ,
Suppliers ,
Tax Legislation ,
Tax Liability ,
Tax Litigation ,
Tax Refunds ,
Transportation Contracts ,
Vendors ,
Waste Disposal
On August 4, 2021, the IRS released additional guidance concerning the Employee Retention Credit (ERC) for Q3 and Q4 2021. See IRS Notice 2021-49. A notable expansion to eligible businesses includes any business started after...more
The Ohio Supreme Court recently ruled that a waste-hauler was entitled to Ohio’s transportation-for-hire exemption from sales / use tax on trucks used to haul trash to customer-designated locations. In N.A.T. Transportation,...more
In response to the COVID-19 pandemic, as work-from-home became the norm, many states provided safe harbors such that remote workers teleworking in the state would not create nexus for corporate income tax and sales / use tax...more
7/8/2021
/ Coronavirus/COVID-19 ,
Corporate Counsel ,
Employees ,
Employer Liability Issues ,
Income Taxes ,
Out-of-State Employees ,
Remote Working ,
Safe Harbors ,
Sales Tax ,
State and Local Government ,
State Taxes ,
Telecommuting
In the fall 2020, Ohio passed a law giving employers flexibility to withhold income taxes as if employees were still working at the office, even if they were working remotely in a different municipality due to COVID-19. See...more
On April 27, 2021, Governor DeWine signed S.B. 57 into law, which allows property owners to reduce their 2020 property tax bills by filing a special “COVID-19 Complaint” with the county due by August 25, 2021. Complaints may...more
In a recent Board of Tax Appeals Case, taxpayers contested the Department’s assessment of personal income taxes, asserting that they were not Ohio residents. See Anthony R. Joy & Robin E. Miller, (et. Al.), v. Jeffrey A....more
In our previous post, we explained the Ohio Department of Taxation proposed a regulation change to limit a taxpayer’s ability to make a retroactive consolidated filing election for Ohio Commercial Activity Tax purposes (CAT)....more
11/18/2020
/ Business Taxes ,
Commercial Activity Tax ,
Department of Revenue ,
Filing Requirements ,
Proposed Rules ,
Retroactive Application ,
State and Local Government ,
State Taxes ,
Tax Audits ,
Tax Commissions ,
Tax Returns
Ohio Commercial Activity Tax – Ohio Supreme Court applies market-based sourcing and grants taxpayer refund by situsing intangible revenue to purchaser’s physical locations.
Situsing gross receipts often becomes a...more
I. EXEMPTIONS -
Resale Exemption -
Domokur Aviation Services, LLC v. McClain, Ohio BTA Case No. 2019-694 (September 15, 2020). Applying the Supreme Court’s decision in Pi in the Sky, LLC v. Testa, 155 Ohio State 113,...more
9/28/2020
/ Aircraft ,
Aviation Industry ,
Construction Industry ,
Fitness ,
For-Profit Corporations ,
Gym Memberships ,
IRS ,
Personal Care Products ,
Resale Exemption ,
Sales & Use Tax ,
State and Local Government ,
Technology Sector