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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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B


130.0000 Bad Debts—Regulation 1642

Annotation 130.0099


130.0099 Charge Sales Checks. The following are situations in which charge sales checks are considered to be bad debts under Regulation 1642:

(1) Charge sales checks having illegible or missing credit card imprints or handwritten customer names which are subsequently written off to cash register shortages.

(2) Charge sales checks which are lost prior to billing.

(3) Charge sales checks indicated by sales person as cash sales and therefore never billed to the customer. 5/27/71; 5/20/96.