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.
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.
Businesses large and small are being challenged with going green within their operation. You might ask, well, what can the tax department or A/P do about going green? If you think about it, every business that deals with use tax on the buy side can take a step towards saving trees while reducing the need for shipping volumes of paper.
How?
Take a look at manufacturers, for example, who purchase materials, parts and other items from a wide variety of vendors. In most cases, they are exempt from paying use tax. To protect themselves when a supplier fails to ask for proof of exempt status, they usually provide a use tax certificate. In many situations though, it is easier for them to generate a large collected volume of all use tax forms and submit that to each vendor rather than spend the time and effort finding and sending out the right certificate for each vendor at transaction time. As you might imagine, significant amounts of paper are used in preparing these binders that are then shipped out to every vendor at great expense. This broad-brush approach can be quite costly from a conservation standpoint.
What then? Is it possible to control and automate the process of generating, approving, delivering and tracking the receipt of each use tax form on demand for the specific vendor at transaction time? Can it be done electronically to speed the delivery and conserve natural resources?
Certainly.
Now you can go green while reducing the risk of a use tax audit—with TEAMS Express Use Tax.