Illinois – Taxability of Software Provided as a Service

SALT Report 3882 – The Illinois Department of Revenue has released a letter ruling regarding the taxability of software provided as a service. They concluded that a provider of software as a service is acting as a serviceman. If the Continue reading Illinois – Taxability of Software Provided as a Service

Illinois – Proposed Rules Local Sourcing of Sales and Use Tax (Hartney Decision)

SALT Report 3267 – The state of Illinois has proposed emergency rules in order to respond to the recent ruling in Hartney Fuel Oil Company v. Hamer, 2013 IL 115130 (November 21, 2013) (SR 3220).  The rules address the issues Continue reading Illinois – Proposed Rules Local Sourcing of Sales and Use Tax (Hartney Decision)

Illinois – General Discussion of Nexus and Use Tax: GIL 13-0069 (November 26, 2013)

SALT Report 3266 – On November 26, 2013, Illinois released General Information Letter 13-0069 discussing the issue of nexus and use tax obligations.  Although the taxpayers specific question regarding location of servers, online retailing and services is not specifically answered Continue reading Illinois – General Discussion of Nexus and Use Tax: GIL 13-0069 (November 26, 2013)

Illinois – Prepaid Calling Arrangements Subject to Tax

SALT Report 3183– Prepaid calling arrangement constitute taxable tangible property…”beginning January 1, 2001…and are subject to the tax imposed under the Retailer’s Occupation Tax Act, regardless of the form in which those arrangements may be embodied, transmitted, or fixed by Continue reading Illinois – Prepaid Calling Arrangements Subject to Tax

Illinois – State Supreme Court: Oil Company’s Petition Clarifies Situs and Legislative Intent of ROT

SALT Report 3716 – In an opinion filed on November 21, 2013 the Illinois Supreme Court addressed the ever complex issues of situs, legislative intent and administrative regulatory interpretations.  Tax on business of selling defined.  In Hartney Fuel Oil Co Continue reading Illinois – State Supreme Court: Oil Company’s Petition Clarifies Situs and Legislative Intent of ROT

Illinois – Exemption for Electricity, Gas, and Water

SALT Report 2973 – Recently enacted legislation in Illinois provides that purchases of electricity, gas, and water are not subject to the Use, Service Use, Service Occupation, or Retailers’ Occupation Tax. Specifically, under the provisions of Senate Bill 2243 electricity Continue reading Illinois – Exemption for Electricity, Gas, and Water

Illinois – Annual Survey Discusses Nexus, Discounts, Seminars and Webinars

SALT Report 2939 – The Illinois Department of Revenue issued a general information letter in response to an annual survey request for tax information.  The survey is a collaborative effort between an Illinois University, a publishing company, and state tax departments.  Continue reading Illinois – Annual Survey Discusses Nexus, Discounts, Seminars and Webinars

Illinois – Medical Cannabis Law Creates New Tax Obligations

SALT Report 2812 – On August 1, 2013, Illinois Governor Pat Quinn signed the Compassionate Use of Medical Cannabis Pilot Program Act into law. The Act imposes a surcharge on all income derived from a medical cannabis cultivation center, a Continue reading Illinois – Medical Cannabis Law Creates New Tax Obligations

Illinois – Agency Agreements for Reporting Sales by Distributors

SALT Report 2740 – The Illinois Department of Revenue issued a general information letter regarding whether a manufacturer, whose products are sold by distributors in Illinois, can assume the responsibility of collecting and remitting Retailers’ Occupation Tax for the sales Continue reading Illinois – Agency Agreements for Reporting Sales by Distributors

Illinois – Updated Reciprocal/Non-Reciprocal Vehicle Tax Rate Chart

SALT Report 2567 – The Illinois Department of Revenue has updated its chart that provides guidance as to whether a nonresident is eligible to claim an exemption from the retailers’ occupation tax when they purchase a motor vehicle or trailer Continue reading Illinois – Updated Reciprocal/Non-Reciprocal Vehicle Tax Rate Chart