Tag Archives: Ohio Department of Taxation

ILN Today Post

Ohio: Department of Taxation updates its nexus standards

In September 2001, the Ohio Department of Taxation issued an information release describing the standards it would apply to determine whether an out-of-state seller is required to collect Ohio’s use tax. The department periodically updates this information, as it did this month to address the changes that were included in the budget bill for fiscal year 2018-19, H49.

The original Information release, ST 2001-01, contains two amendments to the safe harbor exceptions, pursuant to which the department will not require an out-of-state seller to collect and remit Ohio’s use tax from its Ohio customers. There are 16 such exceptions, all addressing the nature of the out-of-state seller’s contacts with the state that will trigger the safe harbor. For example, if the out-of-state seller has an agency relationship with a telemarketer for the purpose of solicitation of customers in other states, then there is no tax collection and remittance obligation. Likewise, when the out-of-state seller merely conducts meetings in this state with suppliers of goods or services, there is no nexus.

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ILN Today Post

ASIC calls for consultation on SMSF Advice

ASIC has today released Consultation Paper 216 – Advice on self-managed superannuation funds: Specific disclosure requirements and SMSF costs.

CP216 follows ASIC’s Report 337 – SMSFs: Improving the quality of advice given to investors, released on 18 April 2013.

Report 337 identified inadequacies in the quality of advice being provided to SMSF trustees both in relation to the costs and financial risks of establishing an SMSF, as well as the duties and obligations assumed by the trustees. More…

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Multistate Tax Alert: Attention noncompliant Ohio taxpayers: The Ohio Department of Taxation may be contacting you soon!

To assist in its efforts to discover noncompliant taxpayers, the Ohio Department of Taxation (Department) has engaged a private information technology firm (IT firm). This private IT firm provides a data warehouse system that compiles and provides access to data which the Department will use to identify the names and contact information of individuals and businesses who they believe are not in compliance with Ohio tax law. The data warehouse maintained by the private IT firm includes data from numerous Department sources, such as the Internal Revenue Service (IRS) taxpayer information. For example, the Department reviews IRS data to locate and identify individuals who are former residents or employees of Ohio businesses but receive certain types of deferred income. 

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Multistate Tax Services Alert: Ohio Department of Taxation scrutinizing Restaurant Sales Tax Collection

The Ohio Department of Taxation (Department) announced at the 2012 Ohio Tax Conference a new sales tax audit program focused on the restaurant industry. The Department will be focusing considerable efforts to address a perceived sales tax noncompliance for restaurants.

Ohio imposes a sales tax on the sale of prepared food when the food is eaten on the premises where sold. The sale is not taxable (except for the soft drinks) if the customer orders the prepared food “to-go.” It is our understanding the Department believes a substantial number of restaurants are not collecting an appropriate amount of sales tax.

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