Managing Sales Taxes In Order To Sell Your Products Nationally

Ray Phillips is the CEO of Soapbox, which makes the next generation of washcloths for kids. The fun, animal-themed plush toys became a popular item with parents across the nation, but this success presented a few challenges. In particular, Ray cites sales taxes as one of the more complicated hurdles to overcome. Depending on the retail channels used in each state, a “nexus” is generated in which certain tax obligations need to be met in accordance to how much inventory is sold in those states. Because each state has its own unique sales tax, Ray had to educate himself and reach out to tax experts in order to be compliant and continue to sell his products across the country. While it may not be the most fun part of running his small business, Ray understands that nailing his taxes down is what allows his company to continue to thrive.

Run your whole business better with QuickBooks. Be sure to SUBSCRIBE to our YouTube Channel and if you have any questions, feel free to leave a comment!