How to Easily Obtain a Texas Resale Certificate for Your Business
A Texas resale certificate lets your business buy goods for resale without paying sales tax, preventing double taxation. This guide explains what you need to know to get one quickly, use it correctly, and avoid common mistakes. Ansari Law Firm (AnsariTax) provides expert help with sales tax compliance and audit defense to protect your business. […]
What Income is Taxed in Texas
Are Retirement Benefits Taxed in Texas? Texas does not impose a state income tax, so retirement income, including pensions, IRAs, 401(k)s, and other retirement plans , is not taxed. To assess whether you’re saving enough for retirement and to plan accordingly, consider using the AARP Retirement Calculator. Is Investment Income Taxed? No. Texas does not […]
Why It’s Important to File a Hearing Request on Time After a Texas Sales Tax Audit
Filing Deadlines Matter After completing a Texas sales tax audit, you have 60 days to request a hearing. Missing this deadline means your case will be transferred to the collections field office, where your best option may only be a two-year installment agreement. The Benefits of Filing Within the 60-Day Window By filing for a […]
Alabama Sales Tax on Groceries
The Alabama House of Representatives passed four bills reducing the state sales tax on food and increasing some tax breaks for Alabamians, including retirees 65 and older. “Today, we have the opportunity to reduce taxes on just about everyone in the State of Alabama,” said Rep. Danny Garrett. Summary of Key Points: What Was Passed? […]
Texas Sales Tax Treatment of Leases and Rentals of Tangible Personal Property
Texas sales tax treatment of leases and rentals of tangible personal property is governed by Comptroller Rule 3.294. Below are the key points to understand: General Tax Treatment Types of Leases Operating Lease Financing Lease A financing lease is defined as a lease containing one of the following conditions: Special Rules for Equipment Leases with […]
Texas Car Dealership Form 8300 Reporting Requirements
Vehicle Purchase and Additional Transactions If a customer buys a vehicle for $9,000 in cash and later spends $1,500 on repairs, accessories, or customization within 12 months, Form 8300 is not required unless the dealership knew or should have known these were related transactions (e.g., the $1,500 purchase was a condition of the vehicle sale). […]
The Test to Determine if a Data Processing Service is Ancillary to a Nontaxable Service
Overview The test to determine if a data processing service is “ancillary” to a nontaxable service does not rest on the essence of the transaction test. That test focuses on uncovering the ultimate objective of the buyer—what Combs v. Chevron, Inc., 319 S.W.3d 836, 843 (Tex. App.–Austin 2010, pet. denied) refers to as the “underlying […]
Texas Sales Tax Exemptions On Manufacturing Machinery Natural Gas And Data Centers
Texas businesses are exempt from state sales and use tax on specific expenses, including manufacturing machinery & equipment, natural gas & electricity, and certain data center expenses. Manufacturing Machinery & Equipment Businesses engaged in agriculture are exempt from state sales and use tax on machinery exclusively used for processing, packing, or marketing agricultural products, provided […]
IRS Audit Reconsideration For Missed Tax Court Deadlines
Overview of Audit Reconsideration Process (IRS & State Tax Authorities) Audit reconsideration is a process that allows taxpayers to request a review of an IRS or state tax agency audit assessment if they believe the findings are incorrect. This process is used when a taxpayer has new evidence, believes there was a miscalculation, or did […]
Rules For Texas Marketplace Sellers And Marketplace Providers
Definition of a Marketplace in Texas In Texas, a “marketplace” is defined as any physical or electronic platform where individuals or businesses—other than the platform owner or operator—sell taxable items. This definition includes: While the term can apply broadly, it most commonly refers to third-party platforms like Amazon, eBay, and Etsy, where sellers list their […]