Recent Community Questions:
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Rollerskt36
Why aren't all sales tax the same?
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fanjacobs
If all purchases are subject to the same tax rate, the tax rate itself is flat with those who consume more paying more in taxes. While the tax on spending as a percentage of gross income may be regressive, the effective tax rates can be progressive on consumption due to exemptions or rebates.
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SRcurt
Sales taxes are considered to be regressive tax; that is, low income people tend to spend a greater percentage of their income in taxable sales (using a cross section time-frame) than higher income people. However, this calculation is derived when the tax paid is divided not by the tax base (the amount spent) but by income, which is argued to create an arbitrary relationship.
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capersix
If a sales tax is to be related to income, then the unspent income can be treated as tax-deferred (spending savings at a later point in time), at which time it is taxed. Sales taxes often exclude items or provide rebates in an effort to create progressive effects. In many locations, "necessary" items such as non-prepared food, clothing, or prescription drugs are exempt from sales tax to alleviate the burden on the poor.
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drobie
What types of sales tax may I run into?
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Warren56
Seller or Vendor Taxes, for example a gross receipts tax levied on all sales of a business. This produces so-called tax "cascading" or "pyramiding," in which an item is taxed more than once as it makes its way from production to final retail sale.
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franmilbauer
Consumer Excise Taxes, often on high value items like gasoline or alcohol, and often imposed on the producer rather than the seller. Also there is Retail Transaction Taxes.
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ajspinnell
Value Added Taxes, in which tax is charged on all sales, thus avoiding the need for a system of resale certifcates. Use tax, imposed directly on the purchaser on goods purchased without sales tax, for example purchases made in another state or purchases over the internet.
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CleveJacob
How can a company prepare for sales taxes?
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ryanstaff
Determination of ways to legally reduce the amount of tax due on a transaction. For instance, how a company structures its invoices can affect the taxability of the entire transaction. Each jurisdiction has different rules for applying sales tax. Some jurisdictions' laws are more advantageous to taxpayer for certain types of transactions. If a business operates in several jurisdictions, choosing the best one in which to take delivery can reduce or eliminate the sales tax liability.
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Sekas12
Review of company purchases to determine which assets may qualify for exemptions. Finding overlooked exemptions often results in significant savings.
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mussoweiner
Periodic review of procedures relating to sales & use tax data gathering and retention. Proper supporting detail, including exemption and resale certificates, and invoices and other records must be available to defend the company in the event of a sales and use tax audit.
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drherekar
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bigbx6
What is the phone number to tucson arizona airport for general information? I need it as soon as possibble please. Thank you Brenda.
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