Streamline Sales and Use Tax Agreement
The Streamline Sales and Use Tax Agreement (SSUTA) focuses on four major requirements for simplification of state and local tax codes: 1) state level administration, 2) uniform tax base, 3) simplified tax rates, and 4) uniform sales sourcing rules.
State Level Administration Under SSUTA, sales taxes will be remitted to a single state agency and business will no longer be required to submit multiple tax returns for each state they are conducting business.
Uniform Tax Base This would require each state to make their jurisdictions use the same tax base, meaning the same goods and services would be taxed or exempt the same way within each state. Each state would retain the choice whether an item is taxable and at what rate.
Simplified Tax Rates This would require the same tax rates be applied across the states tax jurisdictions. There can be an exception rate for food and drugs.
Uniform Sales Sourcing Rules For in-state sales, the seller would be expected to collect the tax rate for the vendor location. This is defined as "origin" sourcing. For sales into a state from an remote seller, the vendor would collect the applicable state wide rate for the destination state. This is defined as "destination" sourcing.
Read more about this topic: Streamlined Sales Tax Project
Famous quotes containing the words sales, tax and/or agreement:
“The elephant, not only the largest but the most intelligent of animals, provides us with an excellent example. It is faithful and tenderly loving to the female of its choice, mating only every third year and then for no more than five days, and so secretly as never to be seen, until, on the sixth day, it appears and goes at once to wash its whole body in the river, unwilling to return to the herd until thus purified. Such good and modest habits are an example to husband and wife.”
—St. Francis De Sales (15671622)
“I come into the peace of wild things
who do not tax their lives with forethought
of grief.”
—Wendell Berry (b. 1934)
“That which corrodes the souls of the persecuted is the monstrous inner agreement with the prevailing prejudice against them.”
—Eric Hoffer (19021983)