Sales tax

Reverse charge mechanism

Reverse charge – the shift in tax liability easily explained + example

Many US-based entrepreneurs are still puzzled by the reverse charge. The procedure is all about transferring tax liability from the service providers to respective beneficiaries. In other words, the latter must settle the payment of taxes with the tax office. This is said to have saved time and prevented frauds in the past. What must be considered, and who is directly involved? Read on for an...

Sales tax

What is sales tax? The basics explained

Everyone has to deal with sales tax in some form or other. Sales tax is one of the most important sources of income for the government. But what is sales tax exactly? And who actually has to pay it? Which tax rate applies to which products? How do you calculate sales tax? The most important information on sales tax at a glance.

Advance tax payment

What are advance taxes?

Advanced tax payments need to be estimated and paid four times a year. But who needs to make these payment and who is exempt? How do you estimate how much you have to pay? The answer to these questions can be found in this accountancy article - make sure you don’t land in hot water with the IRS.

Input tax: sales tax made simple

Input tax: claiming tax rebates through tax deduction

Complicated tax regulations can be a minefield, causing confusion for entrepreneurs year after year. But it’s worth being fully aware of the specific tax legislation in your state; you could be entitled to a rebate for the sales tax spent on business operations. But how does this essential part of the tax law work? In this handy guide, we explain the concept of input tax and sales tax, as well as...

Employer ID number

An introduction to employer ID numbers

Starting a new business comes with a great deal of new responsibilities and paperwork – wising up on the relevant administrative requirements for your business is a good way to avoid issues in the future. This is certainly the case for declaring tax – and to collect tax for your company you will need to register for an employer identification number (EIN), otherwise known as a sales tax number, or...

Tax Tips for the Self-Employed

Saving taxes – a guide for the self-employed

How can I save on tax? This is an eternal question for the self-employed. In order to be well-versed in questions of tax, and improve your own financial situation, you need the necessary information: What taxes have you incurred? And what can be deducted from them?

Types of taxes in the US: an overview

Types of taxes in the United States

Keeping track of taxes in the US isn’t exactly a piece of cake. There are so many types of taxes that it’s difficult to know which ones apply to you and your business. If you don’t file your taxes correctly with the IRS, it could result in penalties, which could cost your business a lot of money. This article explains the main types of taxes so that business owners can inform themselves to see...

Creating Correction and Cancellation Invoices

Correcting or canceling an invoice

If you send many invoices per day, errors can often occur. This can then lead to issues with the tax office, and claiming back deductions owed to you. There are several options available to fix errors, however. In this article, we will show you how to create a correction and a cancellation invoice.