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SalesTaxNerd
Oct 12, 2009, 09:14 AM
Is it necessary for me to separate sales tax when I am paying an invoice? Will there ever come a need for me to show that I have been paying sales tax on my invoices?

Thanks!

rehmanvohra
Oct 12, 2009, 11:57 AM
It depends on whether your business is registered with sales tax authorities.

If registered, you must keep a record for sales tax paid on purchases so that you can adjust the collection against collections made from sales made.

If not registered, then no need to keep a separate record for sales tax since the sales tax paid is part of the cost of your purchases

morgaine300
Oct 14, 2009, 07:58 PM
If registered, you must keep a record for sales tax paid on purchases so that you can adjust the collection against collections made from sales made.

If not registered, then no need to keep a separate record for sales tax since the sales tax paid is part of the cost of your purchases

This once again depends on where you live.

Therefore, SalesTaxNerd, it would be good to know where you live. (No, I don't mean your exact city or anything.)