Just became official

[CobyPhoto]

Originally Posted by hhscr

Don't get the sales and use tax number confused with a Federal Id Number. They are two diffrent purposes. One is for the paying of sales taxes to the state and the other is for banking and paying taxes to the feds.

For a SP you can use your SS# for your banking. If you go the way of inc or llc it is best to get a federal id number and keey your SS# out of it.

Just a clarification...no matter what type of organization you choose, if you employee someone in your business, you MUST get a FEIN. (Federal Employer's Identification Number) Even if you are a Sole Proprietor, you will still have to have this if you have employees.

CJ

[katiexjo]

O.k..I just got the notice in the mail about paying the sales tax. I just filed my DBA in late of 2006, and I opened a business account in Jan of 2007. Can someone explain the whole process. I am a bit confused as to what to do with my sales tax info.

Thanks

~KJ

[CobyPhoto]

Originally Posted by katiexjo

O.k..I just got the notice in the mail about paying the sales tax. I just filed my DBA in late of 2006, and I opened a business account in Jan of 2007. Can someone explain the whole process. I am a bit confused as to what to do with my sales tax info.

Thanks

~KJ

Katie,

It all depends upon when you have to pay your state sales tax. I am assuming that you are yearly, as you just received your notice. Just following the directions on the instruction sheet included with you return. It isn't a hard task, the first time may seem a little confusing, but it is pretty straightforward.

CJ

[katiexjo]

Thanks, I will give a try, and hope that it is not too hard.

~KJ

[hhscr]

Coby is exactly correct about the FEIN number and if you do have employees you will also have to file with the Texas Workforce Commission.

Seems the process never ends.

[esi7esi7]

To determine how often you must file see below.

"Monthly: Taxpayers who collect $500 or more in state sales or use tax in a month must file monthly. Monthly sales and use tax returns are due on or before the 20th day of the month following the month in which the taxes were collected. For example, the July return must be filed on or before August 20th.

Quarterly: Taxpayers who collect less than $500 state sales and use tax per month (or less than $1500 per calendar quarter) may file quarterly. Quarterly sales and use tax returns are due on or before the 20th day of the month after the end of the quarter in which the taxes were collected. For example, the first quarter covers January, February, and March, and the return must be filed on or before April 20th.

Yearly: Taxpayers who collect less than $1,000 in state sales and use tax per year may file yearly. Yearly sales and use tax returns are due on or before January 20th."
Info above is from this site.

[akimartymar]

I recommend filing and paying your sales taxes online. It makes it easy by doing all the calculating for your plus you don't have to worry about an office losing your paperwork.