Sales tax isn't a business tax, it's money customers owe that you collect and send to the state. Rates vary by state, county, and city. Failing to collect or remit it counts as theft.
What are the taxes small business owners need to know about? Sales tax, I mentioned. Interesting thing about sales tax, not actually your tax. It's your customer's tax that the government obligates you to collect on their behalf. And if you don't collect it on their behalf, you get penalized. And the government looks at this, if you file it wrong, as theft. Because the client should have paid for it. And if they did pay for it, but then you don't Send that into the state and they feel like you're stealing their money. Every state is different. It's very important that you understand the rules for your local area, and even sales tax rates vary from county to county, city to city. You're going to want to make sure you understand your rules of what you're selling wherever you're located and where you're selling things so that you don't get in trouble. Unfortunately, while this isn't your actual tax, it is your burden that the government puts on you.
