and NYS sales tax does not apply to CC'ing.


they are supposed to email me some "documents" that explain something to the effect that their accounting department views CC'ing as "Bldg Maintenance". they over payed us $124. i related to my contact that it is against the law for me to collect state sales tax when it is not warranted.

my accountant is not easy to get ahold of...may take a few weeks before he gives me his thoughts on the matter...

i am planning on putting the extra $ aside and figure out what to do with it come next tax season (February 2009). but i already have more work scheduled with them, and hopefully will be there every 3-6 months from here on in.


anyone else experienced this? any advice?


thanx --- Derek.

In my experience of you collect it pay it. If you hold it for a year then pay it and it gets flagged the state could charge you late fees and fines on it and that adds up quick.

Had that happen once.


Brad Lewis
Surface Solutions Inc

Instead of taking their word for it, I would be contacting your state taxation advisory board and getting a printed clarification from them that you may send to your persistent customer.

I realize you don't want to step on toes, but, point out that by law, you are obliged to follow the STATE TAXATION LAWS, regardless of what customers want and say.

Hope this helps,

Shorty.

I've seen the light, and changed my wicked ways.
www.get.shorty.com.au

Check Table 2 Page 9.


http://www.cbcny.org/CBC_WorkingPaper-Revenue_11-04.pdf

That table is referring to household services. Is it a commercial account? I'm not in NY, however, here in FL residential is exempt, but, commercial is taxable.

That table is referring to household services. Is it a commercial account? I'm not in NY, however, here in FL residential is exempt, but, commercial is taxable.

yea this is for a commercial account.

getting something in writing from the state sounds like a start.

thanx for the ideas fellas...anyone else with ideas out there?

thanx --- Derek.

In New York, carpet cleaning is considered laundering and is not taxable.
When you invoice the account you should do it as a separate non taxable item.I don't know what software you are using, but "quick books" has all your items adjustable as either taxable or non.
The documents you want fron the state are totally vague.
When i contacted them 7 years ago, they sent me a list of court cases that explained it.
If you are nervous about the sales tax already collected, put it in as additional services.