Weekly Round-Up: Philadelphia Soda Tax and Expanding Sales Nexus in Washington


Highlights from the 6/10/16 issue of the Weekly State Tax Report :

  • Soda Tax Bubbling Through Philadelphia City Council

    Philadelphia took a step toward becoming the first major city in the country to tax soda under a proposal approved by a Philadelphia City Council committee. The proposed tax would levy 1.5 cents-per-ounce on drinks with added sugar or artificial sweeteners, including diet soda, and is expected to raise $91 million in the next year.

  • Online Retailers Face Broadened Sales Tax Web in Washington

    The Washington Department of Revenue adopted a click-through nexus rule establishing a presumption of nexus for retail sales tax purposes if the remote seller has an agreement to pay a state resident for referring potential customers.

  • Tennessee to Join Seven Other States Without an Income Tax

    As one tax bill shrinks, Tennessee taxpayers could see other taxes climb. That's what could happen as the state phases out its long-standing levy on certain investments, officials from cities across Tennessee said in interviews.

  • Partial Progress Seen in Revisions to N.Y. Draft Nexus Rule

    Revisions to a New York draft economic nexus regulation in the state's corporate tax overhaul have met some practitioner concerns, but major issues remain, tax lawyers said. The latest changes, posted on the state Department of Taxation and Finance website, addressed questions about treatment of corporate members of limited liability corporations in a report by the New York State Bar Association Tax Section.

  • Mandatory Combined Reporting Bill Progressing in New Jersey

    Businesses in New Jersey would need to change the way they report business income under a mandatory combined reporting proposal that passed out of a state Senate committee. The Senate Budget and Appropriations Committee voted 9-4 to approve an amended version of S. 982, which would change New Jersey from a separate entity reporting state to one that requires unitary combined reporting.

Some notable developments from the State Tax Developments Tracker –Bloomberg BNA’s tool for monitoring important developments in all the states:

  • New York Department of Taxation and Finance Publishes Technical Memorandum Summarizing Corporate Tax Changes Enacted in 2016 Budget Bill

  • Oklahoma Legislature Enacts Law Modifying the Period of Limitation with Respect to Sales and Use Tax Refund Claims from Three to Two Years

  • Tenth Circuit Court of Appeals Holds Colorado Legislators Lack Standing to Challenge Taxpayer's Bill of Rights

  • North Carolina Department of Revenue Publishes Important Notice Regarding White Goods Disposal Tax

  • New York Department of Taxation and Finance Launches “One-Stop Shop” Webpage Highlighting Tax Credits and Incentives Available to Business Owners

For more information about this and other state tax issues, sign up for a free trial of the Bloomberg BNA Premier State Tax Library.

In other developments… 

Options for Reforming America's Tax Code, by Tax Foundation

As Election Season Looms, Congress Sets Stage for Future Tax Reforms, by Grant Thornton

Compiled by Melissa Fernley