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Posts by Jerry Donnini

Florida Jumps on Board to Regulate Vapes as Tobacco Products

In Florida, recent legislation seeks to define e-cigarettes as tobacco products and also restrict flavored vape products to be sold at 18 and over stores.   Although some reports have determined that e-cigs and vapes are much safer than traditional cigarettes, the potential harmful effects seem to have motivated the restrictive lawmaking.  Surprisingly, the new law’s…

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Three More States Propose Economic Nexus Legislation

In the growing trend to collect more sales tax, states have turned to economic nexus and marketplace facilitator statutes over the past year. Following the U.S. Supreme Court’s Wayfair decision, which overturned the prior physical presence nexus requirement, states have enacted laws that force companies to collect tax in their state based on sales alone.  The most…

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COUGAR DEN WINS AGAIN IN SCOTUS

On March 19, 2019 the Yakima Nation won an important motor fuel tax case against the state of Washington in the Supreme Court of the United States.  The case centered on whether a fuel importer, who was owned by the Yakima tribe, could be forced to pay $3.6 million of taxes for importing motor fuel…

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FL DBPR Ordered to Pay Blunt Wrap Company’s Attorneys Fees

In 2016, Florida’s appellate court ruled that blunt wraps are not taxable in Florida.  In Brandy’s, the court determined that a blunt wrap was not a taxable “tobacco product,” because it did not meet the statutory definition as ‘loose tobacco suitable for smoking.”  Specifically, the court said that the blunt wraps was a “distinct cohesive…

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Florida New Economic Legislation Bill

Each week, more states continue to propose and/or adopt new legislation in response to the South Dakota v Wayfair US Supreme Court holding on June 21, 2018.  Of the larger states, Florida has remained mysteriously silent on whether it would follow the economic nexus legislation produced by South Dakota and repeated by dozens of other…

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Illinois Takes on Wayfair Legislation

Like so many other states, Illinois has established an economic nexus threshold following the U.S. Supreme Court’s Wayfair decision, that became effective October 1, 2018.  The Supreme Court previously ruled that an out-of-state seller’s liability to collect and remit the tax to the consumer’s state depended on whether the seller had a physical presence in…

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California Continues Fulfill FBA Sales Tax Assessments

Since 2017, California’s Department of Tax and Finance Administration (CDFTA), formerly the Board of Equalization, has been bombarding businesses that use Amazon’s FBA services for sales tax liabilities. Many Amazon sellers received an email in October 2018 reminding them that California has their company’s name, address, and EIN.  Sellers that were already registered and collecting…

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CA AMENDS TOBACCO PRODUCTS DEFINITION TO TAX BLUNT WRAPS

Prior to the recent amendment, California taxed “tobacco products” which were defined as “all forms of cigars, smoking tobacco, chewing tobacco, snuff, and any . . . products made of, or containing at least 50 percent, tobacco.” This meant that certain products, such as blunt wraps, or cigar wraps, may not be subject to these…

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MEDICAL MARIJUANA IN ARKANSAS – SPECIAL PRIVILEGE TAX

MEDICAL MARIJUANA USE IS CURRENTLY ONE OF THE MOST CONTROVERSIAL TOPICS IN POLITICS. TO DATE, 33 STATES AND THE DISTRICT OF COLUMBIA HAVE LEGALIZED THE USE OF MEDICAL MARIJUANA. EACH STATES MEDICAL MARIJUANA SYSTEM LOOKS DIFFERENT ON ALL LEVELS SPANNING FROM WHO CAN USE IT ALL THE WAY TO THE TAX TREATMENT OF THE DRUG. FOLLOWING TREND,…

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What Does the 2019 Farm Bill Mean for the Hemp Industry?

Earlier this year, U.S. Sen. Mitch McConnell inserted language from his Hemp Farming Act of 2018 into the Farm Bill to federally legalize the cultivation and sale of industrial hemp. Congress passed the legislation Dec. 12, effectively removing hemp from the list of controlled substances and allowing states to regulate its production, commerce and research…

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