Who would of thought that sales taxes could be so difficult?
Thinking of starting a business. Going online? Shipping items all over the nation?
Be sure you have a handle on the sales taxes requirements. The non-profit Tax Foundation as identified over 11,000 sales tax jurisdictions in the U.S. in 2020. If you are selling items in Mississippi you have to deal with 3. There are 1,659 different jurisdictions in the state of Texas.
As more and more businesses go online, sales tax collections have become a larger portion of the revenue for states. For the consumer, you no longer get to save money by purchasing items online. If you purchase a product and do not pay sales tax, you are required to pay a 'USE' tax (another way of saying sales tax) to your state. Some states even require it as part of the annual income tax return.
If you are thinking of starting a business, contact us and let us help you navigate the sales tax puzzle!