Recently, Virginia became yet another state to exempt transactions involving gold, silver, or platinum bullion from sales and use tax. Seemingly simple, this one tax change can pose incredible challenges when it comes to categorizing what is taxable vs. what is not.
A recent article in Bloomberg BNA explains: “State tax policy in this area sometimes raises concerns from lawmakers and observers who question the logic of exempting sales of some investments but taxing others (e.g., taxable paintings, jewelry, or stamps held for investment purposes). Detractors could argue that sales tax codes grow too complicated when lawmakers are focused on carving out targeted exemptions rather than lowering tax rates broadly and taxing a wide base of transactions uniformly.”
The article emphasizes how it can be “incredibly difficult to categorize some things as tangible or intangible.” Vertex Cloud’s innovative interface guides you through a configuration process that allows you to personalize the taxability to make it as simple or complex as you need - and that’s a golden opportunity.