For all participating states, the SSUTA sets uniform definitions of sales and use tax terms, a central registration system, simplified local sales and use tax collection procedures, and uniform standards for:
(a) the sourcing of transactions to taxing jurisdictions;
(b) the administration of exempt sales;
(c) the allowances a seller can take for bad debts; and
(d) sales and use tax returns and remittances.
For those Kentucky Derby enthusiasts, you might be interested in knowing that, with certain exceptions, sales of horses are generally subject to the Kentucky sales and use taxes.
And should you have a winner in the Derby, please note that fees paid for breeding a stallion to a mare within Kentucky are subject to the state sales and use taxes.
Otherwise, Kentucky is one of the more straightforward states from a sales and use tax perspective. With a low sales tax rate and no local sales or use taxes, Kentucky is generally sales tax friendly.
If you think you or your business may be impacted by sales and use tax developments, contact TaxConnex. TaxConnex provides services to become your outsourced sales tax department.