NY Tax Talk: Triggers For Tax On Software-As-A-Service | Tax | Eversheds Sutherland

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NY Tax Talk: Triggers For Tax On Software-As-A-Service

August 01, 2024

United States
United States
United States
Law360

 

New York continues to closely review the application of state sales tax to services performed using software platforms. There are scores of audits pending in transactions that involve the sale of services and the use of an application programming interface or other software interfaces, and there are several matters in active litigation.

Most recently, two May decisions by the New York Tax Appeals Tribunal and the New York Division of Tax Appeals affirmed the Division of Taxation's decision to tax service providers for the sales of prewritten computer software in Matter of Beeline.com Inc. and Matter of FacilitySource LLC, respectively.

In their quarterly column published by Law360, Eversheds Sutherland SALT attorneys examine recent developments in New York tax law. In this installment, Liz Cha and Madison Ball focus on two decisions from the Tax Appeals Tribunal and the Division of Tax Appeals concerning sales of prewritten computer software.

 

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lizcha@eversheds-sutherland.com

Elizabeth S. Cha

Partner

New York, United States

madisonball@eversheds-sutherland.com

Madison Ball

Associate

New York, United States

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