This Thomson Reuters blog outlines the growing complexities of indirect tax compliance, from global VAT and GST rules to real‑time reporting demands, and explains how AI, cloud platforms and integrated solutions can automate filings, improve accuracy and reduce audit risk.
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1stopVAT · about 22 hours ago
Illinois: Use tax applies to tangible personal property purchased in Illinois when sales tax is not collected, while Chicago imposes municipal taxes on digital services such as SaaS and streaming.
The BayNet · about 24 hours ago
Maryland: The Supreme Court ruled that Potomac Edison’s transmission equipment qualifies for a sales and use tax exemption, affecting over $3.24 million in taxes. The decision clarifies which components are exempt and sets limits on refund claims.
VatIT · 2 days ago
California will tax SaaS and digital prewritten software from 1 January 2027, regardless of delivery method. The state rate is 7.25%, rising above 10% with local rates. Buyers with receipts over $5 million must self-assess use tax.
CNBC · 6 days ago
The United States has announced a 25% tariff on most Brazilian imports, effective 22 July 2026, under Section 301 of the Trade Act. The measure targets alleged unfair trade practices, with exemptions for goods such as beef, orange juice, aircraft parts and energy products, and a potential additional 12.5% duty if a forced-labour probe concludes.
1stopVAT · 6 days ago
Colorado expands sales tax to digital software under House Bill 26-1223, effective 1 January 2027. The bill removes exemptions for downloaded and remotely accessible software, potentially including SaaS.
CryptoBriefing · 6 days ago
The United States will impose a 25% tariff on most goods imported from Brazil starting 22 July 2026. The measure, triggered by a Section 301 investigation over digital trade and deforestation concerns, exempts products such as beef, coffee, and aircraft parts.
Key Takeaways
Indirect tax teams struggle with explosive complexity and volume of global regulations, manual spreadsheet‑based processes, product data challenges, high transaction data velocity, frequent real‑time reporting requirements, lack of real‑time visibility, data silos, manual reconciliation, and heightened audit exposure.
Technology can automate end‑to‑end compliance, use AI for accurate data processing, provide cloud‑based scalability, deliver real‑time visibility through integrated dashboards, and create immutable audit trails for seamless verification.
It delivers precision and accuracy via AI, frees tax professionals for strategic work, scales with transaction volume, provides real‑time visibility, and strengthens audit defensibility with seamless integration and automated reporting.
Primary source
Read the full article at Thomson ReutersThis summary was published on VATfaqs.com on 4 February 2026. It relates to VAT developments in United States. The original source is Thomson Reuters.
