Use Tax Achieving Use Tax Compliance with ASCEND
Use Tax Defined
“Use tax is a sales tax on purchases made outside one's state of residence for taxable items that will be used, stored or consumed in one's state of residence and on which no tax was collected in the state of purchase. If the purchase would have been taxed if it was made in the purchaser’s state of residence, then use tax is due.� Investopedia
Use Tax • Sales/Use Tax Audits are becoming increasingly common • Risk of Late Payment Penalties • State and Local authorities may charge interest on outstanding liabilities
Why is Use Tax Compliance Important to my Institution?
Use Tax • Automatically calculate Use Tax Due • Flagging at GL line item level • Detailed reporting by Use Tax Rate • User Defined Use Tax Rates by branch in ASCEND • Custom edits for amounts on non-standard items (new for 2019)
ASCEND Use Tax Compliance
1099 Overview
Elements of Engagement
• What is Use Tax? • Why is Use Tax Compliance Important to my organization? • How can ASCEND help my institution manage and stay in compliance?