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My newest recruit is out of city limits so she does not have to pay sales tax. Does this mean she does not have to charge her clients. This may be a stupid question but Ido not really know anything about taxes.


Also, where does everyone get their information regarding filing income taxes? Are there other places besides the IRS? This may have been a topic before, but I haven't found it.

Denise,


Do you live in a state that is sales tax emempt? If not, aren't all sales taxable?


I worked for Jackson Hewitt a couple of years and have always done my own taxes. My advice: Keep records of allbusiness related expenses, including mileage.When calculatingmy vehicle deduction, Iprefer to use the standard mileage deduction versus actual costs because it is much easier for meto keep up with mileage (keep a log). When you use actual costs you are allowed to deduct the percentage of costs in accordance with the percentage the vehicle is used for business (gas, insurance, repairs...).


For my personal/business tax preparation I've found that TurboTax is a very reliable product. It is very user friendly. If you have specific tax questions I will be happy to help if I can.

I know on the recruit form there is a place to check if you live outside the city limits and are exempt from city sales tax. I once had a recruit fall into this category, as well, but she was wholesale and didn't sell, so I didn'tknow then what she would've charged her customers. <?:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />


However,nowadays (if I understand correctly), I know to charge customers tax depending where they live not where I live. Someone correct me if I'm wrong as this has somewhat confused me in the past, as well.


I printed out a sales tax sheet for each county in my area as they are all different. Do a search for "(your state) sales tax by city".

You would charge the tax for where the item is being shipped too! If it's to you...then you would charge your sales tax...if it's to someone else then the tax would be their sales tax!


Also, you would be able to tell what your tax is by the last 4 digits of the nine digit zip code! #####-#### I am out of the city limits and I charge only 5% tax...in the city is 9%! So it's worth checking into! I don't know where you could find a Sales Tax Lookup that is public but I know of one that I can use on anther site that is private if anyone wants me to check for them they can just PM their zip code with the last 4 digits! You can find these numbers on some of your mail if you don't know it!

When you say you calculate tax based on where they live, not you, are you referring to the state in which the spa takes place?


If you live in SC and hold spas withinthe state, sales tax is calculated the same for everyone, regardless of where the individualperson resides.

I just found out she just doesn't have to pay city tax, but still pays the other taxes.


Kimberely that's what we were thinking...she would pay taxes from where she received the items.


Taxes can get so confusing!smileys/smiley5.gif Thank you all so much for your responses.

You calculate tax on where you are having the products shipped too!Itdoesn't matter where the actual spa istaking place!


If it's shipped to me then I am out of the city and I pay only 5%...BUT if it's being shipped to the city then it's 9% tax!


Your welcome Denise! and yes, she would just have to pay taxes for where she lives if the product is being shipped to her home!

In OH sales tax variesfrom county to county. So, yes, I charge them sales tax for whatever county I'm doing the spa in.


Yes, taxes can be confusing. I'm not even sure now if I should do what I just stated above. smileys/smiley5.gif I'm confused!!


Let me think this through: if they were to go shopping at a retail store in my county, they would pay my county's sales tax, but if they went shopping in their own county, they would pay their own sales tax. But since I'm sort of a traveling spa "store" based in my county, do they pay my sales tax?? Or since I'm coming to them, are they shopping in their own county and then pay their own sales tax??


HELP!! smileys/smiley5.gif smileys/smiley9.gif

TG I don't live in OHIO...


www.tax.ohio.gov (http://www.tax.ohio.gov) has some FAQs regarding sales tax. FAQ# 18:


18. How and when is the tax collected?


"Vendors must charge and collect the sales tax at the rate in effect in the county where the sale is made or obtain valid documentation detailing why the sale is exempt from tax. Tax on titled motor vehicles, off-highway motorcycles, all-purpose vehicles, personal watercraft, titled watercraft and titled outboard motors is paid to the Clerk of Courts at the rate in effect in the purchaser's county of residence. Telecommunication services are taxed at the rate in effect in the county of the billable telephone number. Most other areas listed under services are taxed at the county rate where the service is received.


The tax applies when the sale is made, not at some future date when payment is received. For example, if a vendor makes a sale on credit in January, but the money is not received until February, the tax must be reported and paid with January's return.


Vendors must charge the tax on every sale unless the customer provides a properly completed exemption certificate or the sale is exempt by law. Tax must be paid to the State on every taxable sale, even if the price is not collected from the customer. Vendors who fail to send in collected taxes, make sales without a license, or make sales with a suspended or revoked license, are subject to assessments, fines, and criminal penalties."


GOOD LUCK! I hope this is as helpful as it can be.

Well, I guess I don't know what I'm talking about...I need to sit back and keep my mouth shut!smileys/smiley5.gif I hope I didn't confuse you any worse Jennifer!! Sorry!

I'm still confused!
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<LI>"Vendors must charge and collect the sales tax at the rate in effect in the county where the sale is made..."
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<LI>"Most other areas listed under services are taxed at the county rate where the service is received."</LI>[/list]


Does that mean I charge customers their tax since I'm coming to them and making the sale there?

I think the original question was about the difference between city/county sales tax.


Some cities charge an additional tax % to people who live inside the city limits. If you live in one of these areas, BC will take care of that.


Unless you have a Tax ID# on file with the corporate office, you don't have to worry about the sales tax and how it's all figured. Even if you are selling in an area different than your own or in another state. BC takes care of all that for you.


Now if you do have the TaxID# and you pay your own quarterly taxes.... and you don't pay sales tax when you order your inventory products from corporate....then you have a bit of business and figuring to do.


Collect sales tax on what you sell, you are only recouping what you've already paid so be sure to at least collect what you paid. If its someone way off from where I live, I usually just ask them, what is your tax rate? If theirs is higher than mine, I use theirs. If not, I use mine. I don't worry too much about it though because corporate has already taken care of my portion with the state/county/city where I live.


I hope I'm not confusing this more,


It's been fun reading the post on this and seeing the different terms/laws. I'm glad I don't live in Ohio too :)


DoraEdited by: Pamper&Profit