Sharp Tax & Accounting Blog
Michigan Issues Sales & Use Tax Guidance as the U.S. Phases Out the Penny
Michigan’s Treasury has issued new guidance on how retailers should handle sales and use tax calculations during the federal phase‑out of the penny. Businesses must still compute tax using statutory rounding rules, then apply any cash‑rounding to the final total. Rounding up or down is allowed and does not change the tax owed.
Texas Comptroller Issues Guidance on Sales Tax and Cash Rounding as the Penny Is Phased Out
The Texas Comptroller has issued new guidance on handling cash transactions as the federal government phases out the penny. Retailers must still calculate sales tax exactly, but may round cash totals to the nearest nickel. The state will also round down cash payments when pennies aren’t available, ensuring smooth tax compliance during the transition.
Washington Court of Appeals Clarifies Semiconductor Use Tax Exemption
The Washington Court of Appeals ruled that natural gas used to grow semiconductor materials qualifies for the RCW 82.12.9651 use tax exemption, even without direct contact. The decision rejects the Department of Revenue’s narrow interpretation and expands clarity for semiconductor manufacturers.