Mark Faggiano - Sales Tax 101

Mark Faggiano is the CEO of TaxJar – the leading sales tax compliance provider in ecommerce. Mark’s built a career around his passion for using technology to solve complex problems for small businesses. He previously co-founded FileLater, the most well know tax extension service, which was acquired in 2010.

Sales Tax 101 for Store Owners

Our goal is to educate store owners so that they can understand sales tax and make compliance decisions that are best for their business. We talk to dozens of ecommerce businesses every singe day. Most of them want to comply with their sales tax laws, but don’t have any idea how to even get started. Our Sales Tax 101 gives them all of the fundamentals – when to collect, how much to collect, when and how to file returns to the states – arming them with the info they need to, not only get started with compliance, but to automate sales tax compliance using the WooCommerce platform and tax plugins. In the end, the store owner spends more time on the important things (like making more money).

Transcript

1. FAGGIANO MARK 09:30 TAXJAR MAIN ROOM NEXT WOOCONF2016 SALES TAX 101
2. SALES TAX 101 5 STEPS TO SALES TAX COMPLIANCE with MARK FAGGIANO CEO OF
3. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. SALES TAX? REALLY? • My passion: using technology to solve problems
 for small business
 • Founder of TaxJar
 • Not a CPA or tax professional • Talked to thousands of online sellers, pros, auditors, states 24
4. STEP 1:
 
 IS WHAT YOU’RE SELLING TAXABLE?
11. STEP 2:
 
 WHERE DO YOU HAVE NEXUS?
12. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. NEXUS IS WHEN/WHY YOU CARE 33 A presence / connection in a state that’s significant enough for you to be required to comply with their sales tax law
20. STEP 3:
 
 GET A SALES TAX LICENSE
21. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. SALES TAX LICENSES/PERMITS • Can’t legally collect sales tax without one
 • Need one for each state
 • Most states are free 42
22. STEP 4:
 
 COLLECT
23. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. GOLDEN RULE OF COLLECTION Collect sales tax when the item sold is shipped to a state where you have nexus 44
26. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. MULTI-CHANNEL NEXUS • Nexus for one channel means nexus for
 your entire business
 • Collect on all your channels for all of your nexus states 47
27. STEP 5:
 
 FILE SALES TAX RETURNS
28. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. FILING TO THE STATES • Filing deadlines usually tied to sales volume • Annual, semi-annual, quarterly, monthly • Deadlines typically last 2 weeks of the month • The more you collect, the more often you pay
 49
29. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. FILING IN MOST STATES SUCKS • Enter your sales & taxes collected for each jurisdiction
 • Gets worse if you’re multi-channel 50
30. 4/1/16 51
31. 4/1/16 52
32. 53 TaxJar for WooCommerce:
 Painless sales tax compliance for store owners REGISTRATIONS 
 & EDUCATION SMARTCALCS REPORTING AUTOFILE
33. RESOURCES 54
34. FREE eBook SALESTAX101.COM
35. Copyright © 2016 TaxJar. TaxJar is a trademark of TPS Unlimited, Inc. HELPFUL RESOURCES youtube.com/taxjar For visual learners
 salestaxcommunity.com Talk with 5,000 other store owners and tax pros!
 
 blog.taxjar.com Content just for ecommerce & sales tax 56