- Ohio Board of Tax Appeals denied Whirlpool’s sales tax refund claim for temporary employment services provided by Kelly Services.
- The Board determined that the services were subject to sales tax, as the workers were not considered permanent employees under Ohio law.
- Whirlpool argued that Kelly workers qualified for a safe harbor exception and were not under Whirlpool’s supervision, but the Tax Commissioner disagreed.
- The Board found that Kelly only handled HR functions, while Whirlpool managed the employment relationship.
- Although Ohio has since repealed the sales tax on temporary employment services, the decision highlights ongoing state-level taxation issues for such services.
Source: forvismazars.us
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "United States"
- Washington Offers Temporary Penalty Relief for Tax Changes Under S.B. 5814; Apply by Sept. 2027
- Washington Court Expands Gas Use Tax Exemption for Semiconductor Manufacturers Without Direct Product Contact
- Ohio Supreme Court Rules Contract Manufacturer’s Sales Subject to State CAT; Refund Denied
- Wisconsin – Release Addresses Terminated Penny Production and Resulting Sales and Use Tax Implications
- Washington – Time and Materials Charges and Cost Reimbursements Deemed Part of Taxable Digital Automated Services
