To no one’s surprise, 2022 was a busy year in the world of sales tax. Along with the usual barrage of rate, rule and form changes, many of which will become effective on January 1, 2023, we began to witness what is likely the beginning of a shift in tax philosophy. This new philosophy suggests an expanded role for sales tax in government funding in comparison to corporate and personal income taxes. In adopting this new approach, states appear to be recognizing that the regressive nature of sales tax, especially in an inflationary economy, supports targeted exemptions for basic human necessities. These two forces serve to make sales tax compliance both more important and more complex, and from the way it looks right now, more of the same is on tap for 2023.
Source: SOVOS
Latest Posts in "United States"
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