The tax is levied on tax-exempt organizations that pay over $1 million to any "covered employee," meaning the five highest-paid employees at the organization, often the CEO and other C-suite executives. The $1 million figure includes pay from the applicable tax-exempt employer (ATEO) and any related organizations, as defined under tax law.
The amount of the excise tax, which took effect in 2018, mirrors the corporate tax rate, which is currently 21 percent.
While you're here, how about this:
Legislation Seeks to Clarify Kombucha Beverages Not Alcohol
Kombucha products that contain 0.5% or more alcohol by volume (abv) at any point in the production process are currently classified as beer ( see 27 CFR Part 25 ; see also TTB Kombucha Guidance ) and therefore subject to federal alcohol excise taxes and regulations. The Kombucha Act , which would allow Kombucha to contain up to 1.25% abv without being taxed or regulated as alcohol, will reportedly be reintroduced to Congress during this legislative session.
Africa tax in brief | 16 Feb 2021 - Lexology
Maryland Enacts First Digital Advertising Services Gross Receipts Tax: Now What?
On February 12, 2021, the Maryland General Assembly overrode Governor Larry Hogan’s veto of HB 732 (2020) (the Act), a bill enacting a first-of-its-kind digital advertising services tax on the annual gross receipts from the provision of digital advertising services in Maryland. The tax only applies to companies having annual gross revenues (without deduction of any expenses) from all sources of $100 million or more.
* * *
Even though the legislation says the tax is effective July 1, 2020, under the Maryland Constitution, vetoed legislation becomes effective the later of the effective date in the bill or 30 days after the veto is overridden. Based on today’s veto override, the bill should become effective on or about March 14, 2021.
In case you are keeping track:
Maryland approves the first state tax on digital ads from Facebook, Google | AppleInsider
Maryland has approved the country's first tax on the revenue brought in from digital advertisements placed by companies like Facebook, Google, and Amazon.
On Friday, the State Senate voted to override the governor's veto of the measure following a similar vote from the House of Delegates, The New York Times reports . The measure is expected to generate as much as $250 million in its first year.
There do appear to be legal risks to the measure, which will likely face stiff challenges in court over how much governments can tax social media and technology giants. Both opponents and analysts cautioned that the bill could run afoul of both the First Amendment and federal regulations preventing discriminatory taxes on internet companies, The Washington Post reported in January.
EU Lawmakers Want Tech To Compensate Publishers | PYMNTS.com
Here's the latest news from the technology industry, which is coming under increasing global scrutiny from governments around the world.
* * *
Legislators in the European Union who are supervising new online regulation in Europe are reportedly aiming to make large tech firms provide compensation for news, mirroring a similar action in Australia, according to a Financial Times report.
A Maltese Member of the European Parliament (MEP), Alexa Saliba, said the Australian strategy to Facebook and Google had been able to contend with the "acute bargaining power imbalances" with the publishers.
Practitioners Anticipate Tax Filing Season Wins And Woes
Phyllis Jo Kubey, a solo practitioner based in New York City, and Ryan L. Losi, executive vice president at PIASCIK, discuss the 2021 tax season and the unique challenges posed by the COVID-19 pandemic.
David Stewart: Welcome to the podcast. I'm David Stewart, editor in chief of Tax Notes Today International . This week: tax season kickoff. February 12 marks the start of the 2021 U.S. tax filing season. But this year, much like last year, will be far from normal.
States Have Been Busy With Big Tech Regulations. Here's the Rundown.
Lately, states have been busier than Taylor Swift when it comes to Big Tech regulations. Let's get you up to speed...
Maryland: On Friday, the Crab Cake State became the first to introduce a digital advertising tax. The legislation is aimed at companies that bring in $100+ million a year from digital ads. FYI, Google's ad revenue last year was $147 billion, with a B.
Virginia: California has finally passed the torch, and Virginia is set to become the second state to pass a data privacy law. Starting Jan. 1, 2023, the Consumer Data Protection Act would target larger companies—for example, those that control or process data for at least 100k Virginia residents.
No comments:
Post a Comment