Tuesday, October 8, 2019

New California Business Laws On Sales Tax Collection

California Assembly Bill 147 can require out-of-state plus online retailers to collect sales taxes based on the rates for each Solano County city.  The brick-and-mortar commercial real estate tenants have need to collect it for decades. 

If a Solano County company, such as one in Fairfield decides to ship an item to a higher taxed city like say San Jose, the higher tax rate there would have to be paid.  A tedious task for a Solano County company to go through for sales to other California cities with differing sales tax rates. 

Also the state government's AB 91 can limit income what wealthy executives in their swanky executive office suites can claim for tax write offs.

Since different Solano cities have their own rates for sales taxes, the amount owed would be more than the standard 7.25% state sales tax. Each have their own tax rates in Vacaville, Fairfield, Suisun City, Vallejo and Benicia. Then Napa towns have their own, and so forth.
  
For details on this and other business opinions and decisions contact your Solano accountant and visit https://www.northbaybusinessjournal.com/industrynews/bankingandfinance/10101508-181/california-tax-accounting-law

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