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What are tax accounting classes?

Sales tax for online transactions?

  • I'm in the process of creating an online store. I'm an accounting student but we haven't gotten to any tax classes yet. My question is if I have someone order an item from New Hampshire or some other state that doesn't use sales tax but the state I live in does do sales tax should I still charge sales tax? Also, where would I find any other tax information for online businesses? I need to know things like what I should be keeping track of for when I need to file taxes in April. I assume that stuff would be on the IRS website right?

  • Answer:

    it has been the practice of most online stores and catalog companies, that if they have a nexus in your state, they will charge you sales tax on the items you buy if not there is none charged by them but the purchaser needs to declare the amount owed your state on the items purchased and if you are not registered with the sales tax agency of your state you cannot charge and collect sales tax for that state even if that is where you operate

Joanne at Yahoo! Answers Visit the source

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Other answers

No you do not charge sales tax for out of state purchases. Contact your State Taxing Authority and Apply for your Sales tax Number and the instruction booklets for collecting and submitting sales tax revenue.

Ariaread

If you're basing your business decisions on the answer to your question, you should consult a trusted accountant, not a bunch of strangers on Yahoo! Answers.

Spoofer

For the time being, let's say that your business is based in Illinois. Someone living in Wisconsin or Minnesota contacts you and makes a purchase. You are under no obligation, at the moment, to charge and/or collect sales taxes imposed by either Wisconsin or Minnesota. However, please be forewarned, this is always subject to change as tax laws are often changed.

RUSerious

Any business or accounting student should know this... Does the IRS handle sales tax? I don't think so So if the IRS doesn't handle it, who would handle it? maybe you should concentrate on your classes and start the online business after you graduate.

A Hunch

It depends on the State. Actually, here in Illinois you are now required to withhold the State Sales Tax of 6.25%. That is why businesses are leaving for tax-free States.

Lone Woof

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