Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2014
Sales and Use Tax Annotations
490.0000 RETURNS, DEFECTS AND REPLACEMENTS—Regulation 1655
(a) RETURNED MERCHANDISE
(1) In General
490.0088 Returned Merchandise Deduction. For purposes of Regulation 1655(a), a retailer has given "credit" for returned merchandise at the time the credit is entered on his books and the customer is notified in writing that the credit is available for use. It is not necessary for the retailer to wait until the credit has been used by the customer in order to claim the deduction on the retailer's tax return. 8/1/60. (Am. 2000–1).