Imaging Science and Services, Inc.

Managing Sales and Use Tax exemption compliance audits is daunting enough during the best of times. Under current economic conditions, it can be perilous. State auditors are stepping up audits in search of additional sales tax revenue. Corporations are downsizing personnel which means fewer resources that are available for handling sales tax exemption certificates and related state sales tax audits. You need a force multiplier.

Outsourcing sales and use tax exemption certificate compliance is one cost-effective method for offloading the burden of certificate collection, management and audit defense. ISSI and TEAMS Express can provide you with the highest levels of compliance at a much lower cost. Delivered securely across the web from our SAS 70 level II certified hosting facility, we can provide you with more options for handling any or all aspects of exemption certificate management.

For less than the cost of a single accountant per year, you can reduce your sales tax audit risk and significantly increase transaction tax exemption compliance with TEAMS Express.

The powers that be in Tallahassee are considering the potential windfall from a Florida Internet Sales Tax. Couple that with increased state sales tax audits and you have a potentially perfect storm that could significantly increase what your company owes in sales tax. In addition, the state of Hawaii is looking to introduce a sales and use tax bill that could likely encompass Internet businesses by expanding the scope of what it means to engage in business. Certainly, now is the time to consider implementing a comprehensive and cost-effective sales and use tax exemption management system. If you would like to learn more about limiting your risk and exposure to sales tax audits, assessments and penalties, please request our white paper, Exemption Certificate Management Strategies today and protect yourself from the coming sales tax audit storm.

With the financial crisis looming large in corporate America, what is the general thought on sales and use tax exemption compliance? According to a new survey, the majority of corporate managers are expecting to experience some additional sales tax and use tax audit scrutiny because of state and local revenue shortfalls. Strengthening exemption certificate compliance efforts can provide a strong foundational layer upon which corporations can take proactive positions to mitigate audit exposure and risk. Remember, having the correct rates and tax calculations is wonderful, but knowing when and when not to charge sales tax–and being able to prove it when the auditor comes, is something that ought to be on the mind of every CFO, VP of Tax, Audit Director or accounting management responsible for sales and use tax compliance. This is especially true now when state and local tax authorities are going to be prowling for additional revenues to fill tax coffers.

We dig cool, new software as much as the next company. Google’s new browser Chrome, currently released in beta, certainly offers some interesting takes on browser functionality in a minimalist sort of way. We did a first look in our development lab and are happy to say that TEAMS Express on Demand works well in the Chrome world even in its early beta stage.

When Chrome is ready for prime time, you can be assured that Imaging Science and Services, Inc. is leading the way for all of its TEAMS Express customers using our solutions for sales and use tax exemption certificate collection, validation and management.

Depending upon where you are located, you might be smiling or you might need a better exemption certificate management solution.

Smilers first.

Georgia Manufacturers should be happy since the state legislature expanded the sales and use tax exemption for machinery and put a cap on sales and use tax for energy consumed during manufacturing.

…and now to the frowns.

California businesses in the 94608 (Emeryville), 95826 (Sacramento), 95110 (San Jose), 91406 (Van Nuys), 90505 (Torrance), 92701 (Santa Ana), and 92570 (Perris) areas will be subject to a new Statewide Compliance and Outreach Program where the state of California is going after uncollected sales and use tax. They plan to ratchet up scrutiny on businesses in these areas hoping to find the $2 billion dollar unreported sales and use tax gap.

Nonprofit groups in New York State will now need to collect sales tax on certain sales, products or services including some online sales. Failure to do so will result in the same sort of penalties that for profit businesses face. Many nonprofits aren’t even aware of this change.

If there ever was a need for a trusted partner for managing sales and use tax exemption certificates, it is now.

Massachusetts is promoting a new informative video explaining their energy sales tax exemption for qualifying small businesses with 5 or less employees and revenue under a cool million, dollars that is.

More states are now seeing the benefit between energy conservation, going green and sales tax exemption incentives.

Dennis Richardson is pushing the “Tax for a Tax” concept according to the Oregon Magazine. He aims to exempt most Oregon citizens from paying real property taxes by instituting a state sales tax. He figures that current tax technology would help the state implement a system that is fair and is easy to work.

It sounds neat, but implementation will need to be carefully thought out. The law of unintended consequences could have a profound impact on the citizenry and businesses. Electronic cards might come into play to validate certain low income citizens sales tax exempt status.

Can Oregon do it? Let’s wait and see.

Senator Bill Baroni introduced legislation that will make the sale of Energy Star appliances tax exempt in the state of New Jersey. “Buy Green, Save Green” eliminates sales tax on compliant devices for all uses. This action could make New Jersey the first state to enact a permanent sales tax exemption on green purchases.