Okay, I almost feel lame about posting about this, but it is something that I ran into just this month...
You should know your area's sales tax. Hopefully you can recite off the top of your mind, if you don't- take the time to look it up. And this second part is a little more complex... you should know what is taxable and what is not.
Here in Utah there's a sales tax rate for Food is 2.75%. And depending on where you live the general sales tax rate averages around 7% (in North Salt Lake it is 6.5%). And if that weren't enough, there's another tax rate for restaurants.
The tricky part is that Utah doesn't tax services, but it does tax products. That's kind of a "duh" statement right? It's a SALES tax. Anyway, Dave and I had to replace our tires the other day and we were over charged on our sales tax. The company we went through charged us a sales tax on the untaxable services they performed. LAME! I know it's sounds pretty anal to get all crazy about it, but considering the fact that they overcharged us, they're probably overcharging every customer and then we're talking LOTS of money.
Anyway, just be aware.
Wednesday, January 27, 2010
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