How COGS applies to Texas Franchise Tax
Texas Comptroller Issues New Guidance on Franchise Tax COGS The Texas Comptroller recently released new guidance clarifying several Texas franchise tax Cost of Goods Sold (COGS) issues that frequently trip up taxpayers. The guidance comes in the form of updated Frequently Asked Questions (FAQs) and addresses a range of practical concerns businesses face when calculating […]
When Oil & Gas Equipment Isn’t a Manufacturing Exemption in Texas Sales Tax
Southwest Royalties, Inc. v. Hegar — When Oil & Gas Equipment Isn’t a “Manufacturing” Exemption In Southwest Royalties, Inc. v. Hegar, the Texas Supreme Court resolved a high-stakes tax dispute with major implications for the oil and gas industry and state revenues. Background:Southwest Royalties, an oil and gas exploration and production company, paid sales taxes […]
How Does Sales Tax apply to Data Processing in Texas Rule 3.330
Data processing can be painted with a wide brush when we look at different service offerings of a business. Let’s take a look at the purpose of Texas Rule 3.330 and its exceptions. 1. Legal Authority and Purpose Rule 3.330 is promulgated by the Texas Comptroller of Public Accounts under authority granted by: Purpose The […]
Understanding Taxable vs Non-Taxable Items in Texas
Understanding Taxable vs Non-Taxable Items in Texas When it comes to Texas sales tax, the details matter. Many everyday items fall into different tax categories depending on how they’re prepared or intended to be used. Groceries vs. Prepared Foods: Basic grocery staples—such as fruits, vegetables, milk, and bread—are generally exempt from sales tax in Texas. […]
Texas Sales Tax Exemptions: Boots, Snacks, Bullion, and Coins
Texas Sales Tax Exemptions: Boots, Snacks, Bullion, and Coins Keywords: sales tax exemptions, taxable goods, cowboy boots tax, snack tax rules, bullion sales tax, coin tax exemption, state tax laws, retail tax compliance Introduction Sales tax rules can be confusing, especially when certain everyday items are taxed while others are exempt. For businesses and consumers […]
Texas Sales Tax Online Marketplace Sellers Fees on eBay Poshmark Etsy
Texas Sales Tax Change: Online Marketplace Sellers Face New Fees on eBay, Poshmark, and Etsy Texas online sellers are seeing a major policy shift that could affect their bottom line. As of today, Texas will begin charging sales tax on online marketplace fees, impacting anyone who sells on platforms like eBay, Poshmark, or Etsy. While […]
How do you apply sales tax in Georgia if pennies are gone
Georgia DOR Issues New Guidance on Penny Rounding for Cash Transactions (SUT 2025-02) The Georgia Department of Revenue has issued Policy Bulletin SUT 2025-02 explaining how retailers should handle cash transactions now that the federal government has stopped producing pennies. Learn how rounding works, how to calculate sales tax correctly, and what dealers must do […]
Texas Sales Tax on Well Services: Practical Considerations
Texas Sales Tax on Well Services: Practical Considerations When navigating Texas tax obligations for oilfield operations, one of the most common challenges is determining how the state treats well-servicing activities for tax purposes. Although the standard Texas sales tax rate is 6.25%, local jurisdictions can push the combined rate to 8.25%.¹ Whether a transaction is […]
How to get a Texas sales tax bond
A Texas sales tax bond, formally known as a Continuous Bond of Seller, is a financial guarantee required by the Texas Comptroller of Public Accounts to ensure that a business will properly remit all sales taxes owed to the state and comply with applicable tax regulations. This bond is generally required for entities engaged in […]
States That Aggregate Related Entities When Determining Sales Tax Nexus
States That Aggregate Related Entities When Determining Sales Tax Nexus Some states apply economic nexus rules that require businesses to aggregate sales across related entities when determining whether they must register, collect, and remit sales tax. This approach prevents businesses from dividing revenue among multiple affiliated companies to stay below a state’s nexus threshold. California: […]