The war on streaming continues...

Hello trash diggers. Based on feedback, I am going transition to more bite-size content upfront and jumping right into it. Enjoy!

• Weekly sales tax changes

• Coffee taxability is crazy

• Meme of the week

• “Economic Nexus vs. Physical Nexus”

P.S. Is your business sales tax and WCAG compliant? Register for Zamp’s interactive Spooky Boring Zoom Roundtable with SeaMonster Studios this Tuesday, 10/24, to find out!

DON’T UNDERSTAND SALES TAX?

Ask for a sales tax audit & assessment to help you understand your liability exposure - free for subscribers.

You can also check out a Free Sales Tax Guide.

Learn how Zamp helped Madeline and the Begin Health team - link.

WEEKLY SALES TAX CHANGES

1️⃣ California exempts sales of breast pumps and supplies for 5 years between April 2024 and April 2029.

But not indefinitely…

2️⃣ Illinois will waive tax penalties and interest for businesses affected by the Hamas attacks in Israel this month.

I wonder if more states will follow suit…

3️⃣ Virginia’s sales tax holiday ends today at midnight.

The following categories may qualify: (1) school supplies, clothing, and footwear; (2) hurricane and emergency preparedness products; and (3) Energy Star & WaterSense products.

4️⃣ Arkansas is closed to passing a sales tax exemption on feminine hygiene products. More to come.

5️⃣ Target & Walmart in Florida illegally charged sales tax of America flags.

6️⃣ Netflix, Disney, Amazon and Youtube win big in Illinois city, which says the city cannot compel the streaming video providers to pay fees for using its rights of way.

More litigation is ongoing. The cards may or may not fall in their favor everywhere.

THE COFFEE DEBATE BREWS

Hot or iced coffee? Sweetened or black? In a shop or to-go? 🤔

The list of questions around how you should take your coffee is endless — and actually affects how taxable your morning cup of joe is!

So, what if your coffee…

🥶 Is iced? In Pennsylvania, hot/brewed coffee when sold from a vending machine, bakery, donut shop, etc is taxable…but if it’s cold, bottled, and flavored — it’s exempt!

🍫 Has sugar in it? In Philly, pre-sweetened coffee drinks are subject to an additional beverage tax if they have less than 50% milk by volume.

🍽 Comes with a meal? In California, hot coffee is typically exempt from sales tax when sold separately…but if it’s sold with a cold prepared food for one price, the entire sale becomes taxable.

🏃‍♂️Is consumed to-go? Louisiana’s state sales tax does not apply to coffee when it’s not prepared by the seller and not sold by establishments that offer on-premise facilities for consumption.

Seems confusing? Because it is!

Learn how your product is taxed in the US → 

MEME OF THE WEEK

PARTNER SPOTLIGHT

SeaMonster Studios is a full-service digital agency offering data-driven strategy, design, and development for brands.

Interested in chatting? Just reply to this email and I can make a direct intro.

YOUR QUESTIONS, ANSWERED!

Q (Ashley): How do you decide between Economic Nexus and Physical Nexus?

A: If you meet one of the two, you have nexus in the state. You do not have to meet both to have nexus. Just one.

If you have a physical presence in a state (e.g., store, employee, inventory), you have physical nexus. Typically, if you exceed $100,000 in sales or 200 individual orders over a year in a state, you may have met the state’s economic nexus threshold.

Thank you for reading along. I’ll be back next Sunday with more sales tax shenanigans.

If you enjoyed this one, please share it with your network. 🤝

If you caught a laugh, reply back and let me know. I live for the people.

If you have any feedback, suggestions or questions, please let me know by responding to this email or DM me on Twitter or LinkedIn.

Until next week’s 🗑 …

Rohit