In this case it is first necessary to review the tax collected for improper -effectiveness of this action as sometimes the cost of this refund process may be greater than the effective refund value. refunded. In summary we believe that declaring the registry unconstitutional all municipalities that still need it must withdraw their legislation to abolish the said registry. However, as we have seen, Xu City Hall did not follow the judicial decision of the Supreme Court and still maintained the registration and detention requirements for other city service providers. They are inclined to withdraw legislation on the issue but it is necessary to remain vigilant until this happens to avoid fines and penalties. For this reason it is important to always have professional and up-to-date accounting and or legal advice to reduce risk and follow the best tax practices for your business.
The technology market
Has been rocked for years by legal uncertainty related to discussions between state and municipal governments over software taxes. Countries all know that software is a commodity if it is not customized because its production is usually uniform and large-scale. In turn, municipalities understand that software in general is the result of software development services regardless of whether the purpose is tailored to the user. In order to avoid double taxation on the same product, companies in the technology industry ultimately choose to levy taxes based on specific analyzes of the products they develop or usually rely on tax consulting firms to support them in deciding tax assessment events. Yet there are countless cases where companies have been fined, sometimes by state governments and sometimes by municipalities, and have had to take legal action to appeal to avoid double taxation.
How has the theme changed over the years
The (level federal court) reached a (direct unconstitutional action) and judgment on this topic in month and month and published the judgment in month and year thus ending the discussion. The general answer in the poll was that when users purchase software and the program is updated it cannot be considered a commodity but a service whether it is custom software or standardized software – often referred to as off-the-shelf software Adjustments regarding this decision indicate that they are effective from this decision From that date the tax will not be entitled to a refund of any value it has collected and the municipality will not be entitled to a refund of any value it has collected. The exception is ongoing legal discussions to allow retroactive collection of transactions prior to the judgment date.
