Some small business owners in North Carolina need to collect sales tax from customers and remit payments to the NC Department of Revenue. In paper days, it would be fine to set-up tax items for multiple counties that have the same overall sales tax rate, but if you plan on filing online there is an additional schedule to complete where you have to enter the tax liability for each county. If you want to file online and save a stamp, here are some tips to make the process easier:
Create Sales Tax Items – Set-up a tax item for each type of tax that is due at the current tax rate. For example, State of NC at 4.75%, Durham at 2.25%, Transit County at .5% etc.
Create Sales Tax Groups – This is the important step. Create groups, such as Durham County, Wake County, and Orange County. In the group add in State of NC and the appropriate county, transit, and any other type of sales tax that may be due for that county. For example, the Durham County group would have the tax items called State of NC and Durham, making the total tax charged to customers in Durham County be 7%.
Generate the Sales Tax Liability Report – When you are ready to file your sales tax return online, generate the Sales Tax Liability Report. The amounts due for specific counties are already broken down so you can enter them in the separate schedule.
Powered by Facebook Comments