Guest guest Posted October 11, 2007 Report Share Posted October 11, 2007 Good Morning Everyone! I have always included sales tax in the price of my products at shows because I don't want to deal with coin change. My husband and several friends in business say that customers are used to paying sales tax and that I should add the sales to the price of my products. Please give me your opinions on this subject and tell me what you do at shows. (Just an FYI, I do pay local, state and federal tax!) ;o) THANKS!! Have a magical day! Blessings, Ro Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 11, 2007 Report Share Posted October 11, 2007 I don't know about the state that you live in, but I live in PA, and we are required to charge sales tax on any products that are considered taxable in this state. You have to have a sales tax ID and then report, and pay whatever sales tax you collected to the state department of revenue. All the items that I sell retail, and that includes craft shows, which for the most part is the soap that I make,are considered taxable. Therefore, I am supposed to collect 6% for every item sold, and then give that amount to the great state of PA. Different states have different laws about that, so find out what's required in your state. Pam , " Ro Cazenave " <cajunro wrote: > > Good Morning Everyone! > > I have always included sales tax in the price of my products at shows > because I don't want to deal with coin change. > > > > > Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 11, 2007 Report Share Posted October 11, 2007 Hi Ro, I too was like you in considering what to do re sales tax. . In the farmers markets I sold my soaps at I used to charge $3.50 per bar plus 7.6% sales tax which came to $3..77 per bar. That involved calculating the price of the bar(s) then calculating the sales tax, then adding them together then sorting out the change including cents, nickles and dimes ..A major pain at markets. No one else on the market charged sales tax as an extra but had it incorporated into the price. So I change my price to $4.00 per bar including sales tax and at the end of the day back calculated the amount of sales tax we that to give to the Gment. No cents/nickles/dimes involved, quicker calculating of the amount to charge the customer and easier to handle just dollars. AND we got a higher price for our product overall. ... I say go for it. Graham Sorenson http://TheGuideToAromatherapy.com Good Morning Everyone! I have always included sales tax in the price of my products at shows because I don't want to deal with coin change. Blessings, Ro . __,_._, ___ Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 11, 2007 Report Share Posted October 11, 2007 In Massachusetts, we have to show the tax separately. We aren't allowed to include it in the price of the item. So check with your state. Julia Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 12, 2007 Report Share Posted October 12, 2007 It's a state thing. In Ohio they require you to show it as a separate charge. For small crafters, it isn't a big issue. Sometimes I do it separate, especially if it is a big show. I have to pay it so I might as well charge it. It is easier to charge it as tax than to raise your prices to cover it. And it does add up. Joanne , " Ro Cazenave " <cajunro wrote: > > Good Morning Everyone! > > I have always included sales tax in the price of my products at shows > because I don't want to deal with coin change. My husband and several > friends in business say that customers are used to paying sales tax and that > I should add the sales to the price of my products. Please give me your > opinions on this subject and tell me what you do at shows. (Just an FYI, I > do pay local, state and federal tax!) ;o) THANKS!! > Have a magical day! > > Blessings, > > Ro > > > > > > Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 12, 2007 Report Share Posted October 12, 2007 Julia is correct, sales tax is collected by your state (in some states also by county and city in addition to state sales tax) and generally paid quarterly. It is a deductible expense on your IRS income reporting, so it also makes economic sense for your company to track it separately. Don't forget that your state auditors may choose to visit/verify, as well as the IRS variety of agents-we-don't-want-to-see-at-the-door. If you are a crafter and sell mainly at farmers markets and the like, the promoters of the event oftentimes make arrangements to collect sales tax from you and report on your behalf as well as provide short-term applicable business licenses, or initiate an umbrella agreement to collect/report appropriate sales and other related tax. It is not a good idea to include sales tax in the price of your product and is viewed negatively by the powers that be. If you are seriously in business, check in with your local branch of the Small Business Administration to be informed. Hope this helps. Marcia Elston/Samara Botane/Nature Intelligence http://www.wingedseed.com http://www.aromaconnection.org " Historically, the most terrible things - war, genocide and slavery - have resulted from obedience, not disobedience. " Howard Zinn > > > On Behalf Of Julia > Thursday, October 11, 2007 10:51 AM > > Re: Re: Charging Sales Tax > > In Massachusetts, we have to show the tax separately. We > aren't allowed to include it in the price of the item. So > check with your state. > > Julia Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 12, 2007 Report Share Posted October 12, 2007 How often you pay sales tax depends on your sales in Texas. You can pay monthly, quarterly, or annually. You can pay online or by mail. If your sales tax liability is enough you can be required to file and pay online. I don't think that would apply to many people on this group, though. Joy - Paula Coon 10/12/2007 9:07 AM RE: Re: Charging Sales Tax not all sales tax is paid quarterly. I pay mine once a year Paula ..... in Michigan www.farmfreshsoapsandcandles.com farmfreshsoapsandcandles > Julia is correct, sales tax is collected by your state (in some states also > by county and city in addition to state sales tax) and generally paid > quarterly. It is a deductible expense on your IRS income reporting, so it > also makes economic sense for your company to track it separately. ................... Quote Link to comment Share on other sites More sharing options...
Guest guest Posted October 12, 2007 Report Share Posted October 12, 2007 not all sales tax is paid quarterly. I pay mine once a year Paula ..... in Michigan www.farmfreshsoapsandcandles.com farmfreshsoapsandcandles > Julia is correct, sales tax is collected by your state (in some states also > by county and city in addition to state sales tax) and generally paid > quarterly. It is a deductible expense on your IRS income reporting, so it > also makes economic sense for your company to track it separately. .................... Quote Link to comment Share on other sites More sharing options...
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