During my 20 years as an auditor with the California Board of Equalization, my colleagues and I noted that tax understatements were generally due to misunderstanding of Sales and Use Tax Laws and Regulations. A few of these misunderstandings were so pervasive that even some technicians answering taxpayers' inquiries were giving erroneous advice on a few issues. Let me try to clarify just a few of these misconceptions…
MYTH #1: Transportation charges are always exempt from Sales Tax
This is false. Certain conditions must be present to make these charges exempt. Generally, to be an exempt freight charge the following three conditions must be met:
How the Supreme Court Repeal of DOMA Will Affect Same-Sex Couples
On June 26, 2013, the Supreme Court ruled a portion of the Defense of Marriage Act (DOMA) unconstitutional. That section of DOMA defined marriage as a union between one man and one woman, meaning the Federal government did not recognize same-sex marriages.
After the repeal, same-sex marriages that are legally recognized by their individual states will now be recognized at the Federal level as well. These couples will now be eligible to receive numerous federal protections that are offered to spouses in opposite-sex marriages, such as Social Security and pension benefits for spouses, family health insurance coverage, hospital visitation rights, and tax-free inheritance.