The Department of Finance and Administration concluded that allowing access to, and use of, software over the internet is not a specifically enumerated taxable service. Therefore, Arkansas sales and use tax did not apply to the sale of a company’s cloud-based software application. Read a May 2021 report
Source: KPMG
Latest Posts in "United States"
- How to Accurately Set Up Sales Tax Calculation for Your Business in 2026
- Kentucky Clarifies Sales Tax Rules for AI-Enabled and Prewritten Software in 2025/2026 Update
- Consequences of Charging Sales Tax on Exempt Items: Legal Risks, Penalties, and Refund Obligations
- Record-Breaking 2025 U.S. Sales Tax Changes: Key Numbers and Trends for Businesses
- Kentucky Confirms Sales Tax Applies to AI-Enabled Software Classified as Prewritten Computer Software
