Amnesty on the Horizon for the Show-Me State
By: Amol Jain
The Missouri House of Representatives recently passed House Bill 253, which provides a limited-time amnesty for taxes owed to the state of Missouri. Specifically, the bill provides an “amnesty from the assessment or payment of all penalties, additions to tax, and interest with respect to unpaid taxes administered by the Department of Revenue that were due and unpaid as of December 31, 2012.” Taxpayers who seek amnesty must:
- Submit a written application
- File a tax return for each tax period for which amnesty is requested
- Pay the unpaid taxes in full from August 1 to October 31, 2013
- Agree to comply with state tax laws for the next eight years from the date of the agreement
New Regulations Implementing the Medical Device Excise Tax
On May 23, 2013, BRG Managing Consultant Amol Jain and Consultants Nathaniel Kupferman and Javier Siervo will present on “New Regulations Implementing the Medical Device Excise Tax” hosted by the Montgomery County Department of Economic Development Business Innovation Network.
The program will discuss the newly imposed 2.3-percent excise tax on the sale of medical devices as defined by the Food and Drug Administration (FDA). The tax is applicable to both manufacturers and importers. Certain items are not subject to this tax, eyeglasses for example, and certain types of sales, such as retail sales, are also exempt from this tax. However, the mechanics of this tax and its complex rules impose a number of tax and operational burdens on medical device manufacturers and importers. While many devices are clearly taxable, and others are clearly non-taxable, the application of this tax on numerous devices is still uncertain and must be carefully analyzed to determine proper tax application. The presenters will discuss how to deal with these complexities:
- Background
- Statutory and regulatory elements
- Exemptions and exclusions
- Data management and compliance procedures
For more information on the event, click here.
Virginia Enacts Numerous Changes to the Tax Code
By: Nate Kupferman
Legislation effective July 1, 2013, includes numerous tax increases, most notably in the state retail sales and use tax rate from 4 percent to 4.3 percent.
An additional sales and use tax will be imposed at the rate of 0.7 percent in each county and city within a planning district that, as of January 1, 2013, meets certain prescribed criteria. Currently, Hampton Roads and the Northern Virginia Region are the only qualifying jurisdictions. In other words, citizens of Hampton Roads and the Northern Virginia Region will see total sales and use tax rate increase from 4 percent to 5 percent on all retail items. Food purchased for human consumption is not subject to the additional tax. Food will be taxed at the state rate of 4.3 percent.
