Hello everyone. Trying to make sure I add all the helpful information I stumble across, in the hopes that it’s helpful to others as well. My logic here is that we are all walking the same path in so many ways, so while we may not all end up in the same place, we are likely sharing similar thoughts. My thoughts are all around, how to make money and be happy doing it.
So today’s post is all about some research I was recently doing in preparation for a relatively sizable chunk of business I’m engaged in. This is a real company in NY that was referred to me for a website redesign and some associated branding work (logo, collateral, etc.).
I actually wasn’t planning on taking on any engagements this early this summer, but when opportunity knocks, you take it and figure it out.
So in preparing an invoice for phase I of the work, I wasn’t even sure if the service I was planning to provide was a taxable service here in NJ. If it is, (and many things ARE now taxable – for example, purchasing goods online out of state, you may need to pay taxes on now, whereas, since the birth of the internet, you could buy stuff online and avoid sales tax UNLESS the retailer had a brick and mortar presence in your state…. but I digress.
So I found my way to the NJ state “Taxable” guide which lists out, by category, whether things are taxable or not.
So what does this mean? It means if you decide to start a business, you’d better know whether you need to collect state sales tax on the services or products you provide.
In general, “professional services” are not typically taxed, where goods typically are. But best to check.
For folks in NJ, you can click here to get to the NJ guide. Anyone out of state, you should just google “sales tax guidelines” for your state to see if your product/service is taxable, and be sure you collect the right amount of sales tax.
I’d love to hear comments about what types of businesses you are thinking about starting or are starting? This will help me create our [coming soon] Entrepreneur’s Corner, where you can help get the word out.
I’m going to have a special option for my AT&T downsized friends because I’ll need some beta testers, so I’m going to give it away FREE to a select group of interested folks, sign up below if you’re interested in working with me on Beta Testing my course.