It is simple. The one reason you should outsource your bookkeeping is fraud. The news…
On August 15, 2018, the website accountingtoday.com published a great article by Mike Trabold with regards to the payment of sales tax, “What does the Supreme Court ruling on online sales tax mean for small business owners?”
The focus is on SMB’s who are selling via the internet and the impact it will have on the management of their compliance and sales tax filings. The author writes,
“The Supreme Court ruled in June that states have the authority to require businesses to collect online sales tax on purchases even if the business does not have a physical presence in the state. Previously, businesses were only required to collect sales tax in states where they operate physically. Though some major online retailers like Amazon were already collecting sales tax nationwide, the decision has implications for small to mid-sized businesses that must adapt to remain compliant.
It’s not all bad news for business owners. While small businesses with an e-commerce presence may now be looking at a significant incremental compliance obligation, smaller brick-and-mortar operations who have always been required to collect sales tax are hailing the decision as providing long-overdue competitive equity. There are also some upsides for online retailers: read more…”
The author ends the article with some great advice:
“Though some effects of this ruling are unknown at this time, business owners can take steps to prepare. Assess the impact, evaluating where your main out-of-state sales come from. This will give you a sense of where you may want to focus your compliance attention.”
Please be sure to speak with a tax professional for advice and assistance in complying with these changes.