Regulatory Analysis
In Juneau, voters recently approved Proposition 2. Effective November 20, 2025, essential foods and essential residential utilities will be exempt in the Alaskan local. Proposition 2 was a citizen’s initiative petition to amend Juneau’s sales tax code to create new sales tax exemptions. Specifically, essential food defined by the Food and Nutrition Act of 2008 […]
Earlier this year Washington enacted Engrossed Substitute Senate Bill 5814 (published as Chapter 422, Laws of 2025) which changed the state’s definition of retail sales to include custom software and several newly taxable services. As a result, the retail sales tax and the retailing business and occupation tax will apply to sales of custom software […]
The City and Borough of Sitka Assembly has approved a resolution declaring November 28th & November 29th, 2025, as sales tax free days. This tax holiday applies to all sales made within the City and Borough, except for sales of fuel, alcoholic beverages, tobacco products, marijuana, and any sale which is part of a continuing […]
Massachusetts has established mandatory annual reporting requirements for motor vehicle insurers making payments to repair shops, effective for payments made on or after January 1, 2025. Under 830 CMR 62C.8.2, promulgated August 1, 2025, insurers must file electronic information returns with the Commissioner and furnish copies to repair shops. The regulation requires reporting of all […]
Louisiana has recently published new guidance regarding sales and use taxes on digital products and services. This guidance provides clarification on the scope of new sales and use taxes imposed in January 2025 under legislative bills HB8 and HB10.
Effective October 1, 2025, the State of Florida will repeal the state sales tax on rent or license fees for the use of real property. The repeal affects a wide range of commercial rental properties, including office and retail spaces, warehouses, and self-storage units. However, this repeal does not apply to parking, docking or storage […]
Rhode Island recently passed legislation which imposes sales tax on short-term parking services. The term is defined to include parking services for less than one month. This will take effect on October 1, 2025. For more detail, please reference Advisory 2025-14 linked here.
Effective January 1, 2026, Colorado HB 1005, eliminates the sales tax vendor fee retailers may retain in connection with remitting and collecting sales tax. Previously, qualifying retailers may have kept a percentage of state sales tax collections each month for administrative costs associated with remitting and collecting sales tax. Further information about the legislation may […]
Localities in Virginia may impose a $0.05 bag fee on each disposable plastic bag provided to customers at check out. Locals need to pass an ordinance to impose such a fee. Richmond, Virginia approved Ordinance 2025-099 to impose a $0.05 bag fee on certain bags at check out, effective January 1, 2026. Further information concerning […]
The town of Clifton, Arizona has adjusted its tax code to establish a tiered use tax rate beginning October 1, 2025. For items $10,000 or less, the use tax rate will be 3%. For items greater than $10,000, the use tax rate will be 2%. Further information regarding this change may be found here.
The city of Maricopa, Arizona enacted an ordinance to increase the general transaction privilege tax rate by 0.50% beginning October 1, 2025. The increase does not apply to certain tax classes, including food for home consumption. Further information may be found here.
Effective September 1, Alabama will exempt qualifying baby supplies, baby formula, maternity clothing, and menstrual hygiene products from state sales and use tax. Further details may be found here.
The Missouri legislature passed HB 594, creating an exemption for diapers, feminine hygiene products and incontinence products. The exemption is set to begin on August 28, 2025. For definitions of each term, please reference the following statute: RSMo § 144.029.
The City of Kake has completed the process to join the Alaska Remote Sellers Sales Tax Commission (ARSSTC). Sellers must begin collection on 9/1/2025 and forms for filing will be updated to include Kake on 10/1/2025.
Effective July 10, 2025, Alaska HB 123 became law without the Governor’s signature. The legislation provides for a reduction in the Vehicle Rental Tax rate from 10% to 9% of the total fees and costs charged for the lease or rental of a passenger vehicle not arranged through a vehicle rental platform under AK Statutes 43.52.020.
New Mexico lawmakers recently passed HB 218, which changed the dates of the annual back to school tax holiday to the last weekend of July. This year, the holiday takes place from July 25, 2025 to July 27, 2025. Certain retail items will be eligible for a tax exemption during this time subject to certain […]
Effective January 1, 2026, Illinois will exempt food for human consumption through a repeal its 1% sales tax. This exemption will not apply to alcoholic beverages, cannabis-infused products, soft drinks, candy, or prepared foods meant for immediate consumption. Coinciding with the repeal, municipalities will have the option to impose their own 1% grocery tax, replacing […]
Beginning January 1, 2026, Illinois will eliminate the 200-transaction threshold for establishing economic nexus for sales tax purposes. Going forward, both remote retailers and marketplace facilitators will be subject to economic nexus rules based solely on whether their cumulative gross receipts from sales to Illinois purchasers exceed $100,000 over the previous 12 months. Remote retailers […]