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A Clearer Forecast On Cloud Computing Tax In Illinois

Law360 (May 15, 2018, 3:20 PM EDT) -- Determining whether computer software is taxable is no easy task, especially in light of the changing technological landscape. The Illinois Department of Revenue has been asked by taxpayers for a number of years to provide clarification, but until recently has been largely silent on the treatment of sales of computer software. In several nonbinding general information letters and private letter rulings[1] the department has recently provided clarification on several key issues, including the taxability of cloud computing.

Canned or Custom Software

As background, whereas the sale...
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