Sales Tax Service Help

May 20, 2016

Filing sales tax returns is increasingly challenging, and subsequently a process that benefits greatly from professional assistance. Your Los Angeles tax preparation service offers comprehensive sales tax service, as many of their clients must collect and submit sales taxes in a number of different areas.

Let’s take a closer look at what sales tax filing involves before scheduling a consultation with Wallace & Associates:

What Is A Sales Tax Return?

A sales tax return is defined as a document utilized by the seller’s permit holders to report payment of sales and “use taxes.”

Who Must File?

Sales tax registration and filing is required by anyone who sells products or services, whether from a commercial establishment, out of the home, or online. Selling items or services from a cart or event booth also means registering for sales tax in order to be considered a vendor. Additionally, business solicitation through employees, catalogs, and agents are necessary reasons to register.

What About File Frequency?

How frequently you must file is determined by how much sales tax is collected on a monthly basis. For example, if $15 or less in sales tax is filed per month, you may file sales tax returns on an annual basis. If the amount is under $300 per month, returns may be filed quarterly. Should the amount exceed $300 per month, you must file on a monthly basis. Additionally, wholesale businesses that have a sales tax liability of $180 per year or less are subject to annual filing.

Examples Of Sales Tax Deductions

Examples of sales tax deductions include:

  • Sales exclusively for services rather than products
  • Sales of prescription drugs
  • Gasoline sales
  • Sales to charitable organizations or government agencies
  • Utility costs (for restaurants only)
  • Sales of pesticides and similar agricultural compounds

Work with the experienced tax consultants at Wallace & Associates and obtain the sales tax services you need! Contact the Los Angeles accounting firm today.