Business Finances Blog Posts
Surviving a Sales Tax Audit
There are few five letter words feared by small business owners as much as “audit”. Especially for business owners who have been careful in their processes, recording all sales, logging everything, and maybe occasionally forgetting to document something, it’s frustrating and terrifying to get that notice. But with the right preparation, and a keen understanding of why sales tax and use tax audits occur, and how to prepare for and address them, you can tackle the issue with hopefully a bit less stress. While avoiding a sales tax audit completely is ideal, having a good plan in place can help… Read More
Selecting the Right Business Structure for Your Small Online Business
Few decisions will have as big of an impact on the taxes you pay and regulations you must follow as the business structure of your online company. When starting an online business, you should strongly consider consulting with a lawyer for advice as to the best structure. However, you can do some in-depth research beforehand on the topic to get a better feel for the options. Remember, the following information is not to replace legal advice, merely to help you better understand your options in advance of the decision making process. Sole Proprietorship Many small online businesses opt for a… Read More
How to Avoid a Sales Tax Audit
Regardless of the size of your company, there is always the possibility that you will face a sales tax audit at some point. This is certainly a hassle that you’d rather avoid, and while there are no ways to guarantee you won’t be audited, there are a number of steps you can take to make that eventuality much less likely. Nexus Considerations One of the easiest ways to run afoul of state sales tax laws is to fail to register with the appropriate jurisdictions when you have a nexus there. While the broad outlines of what constitutes a sales tax… Read More