Sales Tax on CIMcloud Invoices

Introduction

The sales & use tax landscape is constantly evolving. Due to some recent large-scale changes, businesses may be required to collect and remit sales tax in states where they have remote sales. Like our customers, we are not removed from these changes.

We have made the decision to begin collecting and remitting sales tax on behalf of our customers in relevant states.

What does this mean for you?

As of early 3rd Quarter 2021 (July-August), you will notice a sales tax line item on our invoices. The amount of tax will be calculated based on the state & local jurisdiction you reside.

What are the next steps?

  • If you have not been accruing or paying use tax on our services, you may need to perform an assessment to determine if you have any historical liabilities. Consult with your tax advisor for more information.
  • If you have been paying use tax on our services, please let us know so we can make adjustments to our actions with your account.
  • To assist you with sales tax, we will perform an assessment of 1/1/2021 through approximately 7/31/2021 (actual date may vary slightly) to determine if you have a historical requirement. If you have a sales tax liability, we will send you a separate invoice and remit your tax to the appropriate taxing authority. If your taxing authority determines there are additional taxes owed from an earlier period, we will contact you at a later date.
  • You may not be collecting sales tax on YOUR products or services currently. We recommend performing a sales tax analysis to understand if/where you have filing requirements. If it is determined that you must collect & remit sales tax, we have developed an integration with Avalara and can assist in your implementation. Talk to your account manager to learn more.

If you have any additional questions, please reach out to us by submitting a support request task.

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