CCH, a Wolters Kluwer business, announced that it has been selected by the Internal Revenue Service to provide sales tax rates and taxability tables for the eighth consecutive year. The data provided by CCH will be used to support taxpayers in preparing their returns this upcoming tax season.
“We are delighted to continue our partnership with the IRS by providing the latest updated rate and taxability information for every ZIP Code in the country,” said Scott Gruchot, CCH Vice President & General Manager, Corporate.
Taxpayers use the IRS tables to determine possible sales tax deductions for their income tax returns. The information used in these tables is produced by several CCH workflow tools, including CCH’s IntelliConnect. CCH provides the IRS with updated sales tax data for every zip code, city, county and state in the United States and its territories. In addition to the extensive data already provided by CCH, this year, taxpayers will also have access to rates for granular tax districts, allowing for increased accuracy.
CCH’s tax rate information is also used in the IRS’s online Sales Tax Deduction Calculator, which lists the average amount of sales tax that should be paid in each jurisdiction. The average amounts represent a “standard market basket” of consumer spending and is based on income and family size. The IRS tables and Sales Tax Deduction Calculator helps taxpayers decide whether to deduct state and local sales tax or state and local income tax. The IRS will use also use CCH data for taxability rules for the Bureau of Labor Statistics spending categories.
“Delivering valuable multi-jurisdictional sales tax information gives us the opportunity to directly support millions of taxpayers and tax professionals who regularly integrate our solutions into their daily workflow, allowing them to make informed decisions based on the latest CCH tax data,” added Gruchot.
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