This year, I've been starting and getting involved in some ventures that involve selling digital goods and services over the internet. Also, some of the sales are overseas. I can not find good information about how I should prepare for tax filings. Can anyone help me with some resources on this matter?
irs.gov is a good place to start you can also go to justanswers.com and ask a tax professional for advice.
For the most part, online businesses are required to comply with the same rules and regulations of traditional small businesses. When it comes to taxes, however, several additional issues come into play.
If your business makes money online, you have to pay taxes on that income.
If you are operating your online business in a state that charges a sales tax; or levies a gross receipts or excise tax on businesses you may have to apply for a tax permit or otherwise register with your state revenue agency.
Online businesses are also responsible for collecting state and local sales taxes from their customers when applicable, and paying these taxes to state and local revenue agencies.
Check out this quick guide to find out what all business owners in the e-commerce world should know: The Facts About E-Commerce Taxes
If you are thinking about selling overseas, read this guide on exporting: Electronic Commerce: Selling Internationally - A Guide for Business
shalom | Window Shopper | 1/31/2011 - 1:49 pm
NicoleD | Former Moderator | 1/31/2011 - 3:01 pm
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