Sales and Use Tax for Cloud Computing, Software, Apps, and Other Digital Products and Services

This course will provide tax professionals with a detailed and practical guide to the latest state developments and trends impacting multistate companies dealing with digital products and services (cloud computing) as either seller or buyer. The panel will offer compliance approaches for adjusting to these multistate developments.

States' sales and use taxes applied to sales of web-accessed and downloaded digital products and services are dynamic and complex for corporate sales tax professionals. Buyers and sellers must confront and navigate inconsistencies among states' tax treatment of cloud-based goods and services.

States vary considerably on whether cloud-based software, data, or applications are subject to sales and use tax. While there is a general distinction between the treatment of prewritten software and other digital products, there is no consensus among U.S. jurisdictions on whether cloud-based goods or services are taxable. States facing revenue shortfalls seek to extend their sales tax jurisdiction to products accessed via the cloud.

Several state and local jurisdictions impose tax on digital purchases either through existing or digital-specific tax laws. To ensure compliance, tax staff must stay abreast of myriad state laws, policies, sourcing rules, and taxation.

Listen as our panel of veteran tax advisers suggests tactics for fine-tuning your company's sales and use tax compliance and planning in response to the dynamic and varying treatment of digital products and services by state tax authorities.