Journal of State Taxation articles from January 2005

Journal of State Taxation archives from January 2005

Current status of internet commerce taxation: James Yang, Chiaho Chang and Ruben Xing examine the new definition of "Internet access" and the taxation of products, services and information purchased via the Internet.
January 1, 2005... Introduction On December 7, 2004, the "Internet Tax Freedom Act of 1998" (1) (ITFA) was amended and extended for four more years until November 1,2007. (2) The amendment basically reaffirmed the tax-exempt status of Internet access, and at...

Collection of state excise taxes on native American reservations: Larry Garrison examines the various judicial determinations and state regulations regarding the imposition of state excise taxes on cigarettes and motor vehicle fuel on native American tribal members and nonmembers.
January 1, 2005... Overview Indian tribes may impose their own taxes on their respective reservations. (1) Taxes collected by the tribes provide revenue for health services, education, housing, transportation infrastructure and law enforcement. The tribes...

State strategies for dealing with tax shelters: Raquel Alexander, Randall Hanson and James Smith look at strategies available to states to combat abusive tax shelters. They also examine tax shelters specifically designed to avoid state income taxes.
January 1, 2005... The federal government has passed a series of new rules over the last four years to combat abusive tax shelters in an effort to stem the substantial loss of tax revenues, which the Treasury estimates to be as high as $10 billion per year. (1)...

California enacts tax amnesty program for personal, corporate and sales taxes: Chris Micheli looks at the legislative development of California's tax amnesty program and provides an overview of the program's mechanics.
January 1, 2005... Overview As part of the 2004-05 California state budget, a tax amnesty program was enacted in order to generate additional tax dollars for the state's depleted General Fund. The amnesty program was enacted in S.B. 1100 (Senate Budget &...

Use tax collections: Karen Nunez, Lorraine McClenny Wright and Laura Ingraham examine the level of compliance with state use tax laws. They discuss the results of a survey that looks at the methods states use to enforce the reporting and collection of use tax, and note what seems to work the best.
January 1, 2005... Introduction Over the past decade, marketing techniques and consumer buying patterns have changed dramatically and there has been a significant increase in purchases over the Internet, from television shopping networks and through mail...

Significant 2004 California tax law developments: Chris Micheli looks at major tax legislation considered during the 2004 California Legislative Session. He also examines other tax developments that occurred throughout 2004, including proposed tax law changes.
January 1, 2005... Abundant Legislation The 2004 California Legislative Session, which concluded in the early morning hours of August 27, 2004, produced a modest number of tax law changes of interest to taxpayers and practitioners. Governor Arnold...

State tax amnesty programs on the rebound: again: Steve Wells, Daniel Tschopp and Douglas K. Barney examine state amnesty programs in effect during 2001, 2002 and 2003, and discuss the results of those programs.
January 1, 2005... Introduction Financial desperation is widespread among most state governments. As revenues continue to decline, states are slashing budgets and considering every possible source of revenue. States are reducing "Rainy Day" funds, raiding...

Internal controls and the state and local tax function: Raquel Alexander, Kimberly Key and Rebecca Sawyer explain Sarbanes-Oxley section 404 and PCAOB Auditing Standard No. 2 internal control requirements and their implications for state and local taxes.
January 1, 2005... Introduction The changing landscape of the post-Sarbanes-Oxley world necessitates that many tax professionals and particularly members of tax departments within large companies understand internal controls. Most tax department personnel...

Frequently asked multistate tax questions: for an exemption from sales and use tax, must production equipment be directly used in the manufacturing operation?
January 1, 2005... Yes. Most states require that for machinery and equipment to qualify for the sales and use tax manufacturing exemption, it must be used directly, exclusively, primarily, predominantly or some combination of the preceding in manufacturing...