Businesspersons or accountants: Have we found the way around the sales tax on services yet?

RatLabGuy said:
Not if you make a lot of money but are a stingy DIYer- and don't pay anybody else to ever do any work for you. Then you come out ahead! :flipoff2:

so really this is about screwing small business and improving things for DIY materials companies? Did Fuller Enterprises get this passed?
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fixed it.
 
RatLabGuy said:
Isn't the rental still a taxed service?
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Don't know . I'm not a accountant, but it could go into a shop supplies category. Rental or shop usage isn't specified in the code, but it might qualify for another tax. Has anyone been able to get quick books to recognize 2 different tax rates? Nc is getting tax crazy, hopefully this will blow up in their face. These ass holes in Raleigh are pissing on the middle income class that makes up a good portion of the voting block. Shitting on small business owners so they can pad the pockets of their corporate buddies, with government contracts. Don't get me wrong, I voted for them. But not to create more headaches for working class business owners. It's gonna send a greater percentage of businesses to a cash based accounting system, then they'll start creeping back up with on income taxes. In a few years they'll go up for reelection and say " vote for me because I lowered your taxes" while laughing to theirselves about fucking the taxpayers twice. Rant over I'm going to bed.
 
Edit, didn't load right. After getting some sleep, when this takes place: Isn't the fact that those who do not and have never collected state level taxes are still going to fly under the radar? I mean really help lowering income tax by forcing more small people "underground". What little advantage for small people to gain accounts and whole sale price points on a small scale just got eaten by tax on labor. The guy who never collected or paid either now has an instant built in profit margin of "X" percent tax on labor.

Is this skewed thinking or is this small struggling business man just overthinking and pissed off??? No malice intended but I have friends who work and play well under the radar, do high quality work and stay busy. Maybe if your to legit on a small scale you should just quit?

ADVICE please..
 
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WARRIORWELDING said:
Edit, didn't load right. After getting some sleep, when this takes place: Isn't the fact that those who do not and have never collected state level taxes are still going to fly under the radar? I mean really help lowering income tax by forcing more small people "underground". What little advantage for small people to gain accounts and whole sale price points on a small scale just got eaten by tax on labor. The guy who never collected or paid either now has an instant built in profit margin of "X" percent tax on labor.

Is this skewed thinking or is this small struggling business man just overthinking and pissed off??? No malice intended but I have friends who work and play well under the radar, do high quality work and stay busy. Maybe if your to legit on a small scale you should just quit?

ADVICE please..
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I feel this way sometimes. Mainly when I pay withholdings. It's a constant struggle. Sales and labor tax just gets passed on to the customer, which may push some to less expensive shops or shade trees like you mentioned. Withholdings are what always get me in a tight spot! $3,000-$7000 a quarter depending on what I don't know lol
 
WARRIORWELDING said:
Edit, didn't load right. After getting some sleep, when this takes place: Isn't the fact that those who do not and have never collected state level taxes are still going to fly under the radar? I mean really help lowering income tax by forcing more small people "underground". What little advantage for small people to gain accounts and whole sale price points on a small scale just got eaten by tax on labor. The guy who never collected or paid either now has an instant built in profit margin of "X" percent tax on labor.

Is this skewed thinking or is this small struggling business man just overthinking and pissed off??? No malice intended but I have friends who work and play well under the radar, do high quality work and stay busy. Maybe if your to legit on a small scale you should just quit?

ADVICE please..
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If you're running it as a primary source of income or do lots of work for people you don't really know, then I'd keep it above board. The first time something screwy happens and a customer is pissed, anything can happen and possibly expose your lack of tax collecting actions.I don't like and won't like paying taxes, unfortunately they are like a vaccination for this horrible condition known as the IRS.
If you're a guy working in the garage at the house doing side work for family and friends, then I wouldn't worry too much about it.
 
I hate taxes just like any other and this is one more burden on small businesses.

But, I'm much more in favor of a consumption tax than an income tax. Maybe this is a step in the right direction assuming the reduction in income tax is enough?
 
rockcity said:
I hate taxes just like any other and this is one more burden on small businesses.

But, I'm much more in favor of a consumption tax than an income tax. Maybe this is a step in the right direction assuming the reduction in income tax is enough?
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Or assuming there is a reduction at all. I'm with you on consumption vs. income, but I'm not putting it past NC to just keep both. Or reduce income tax now, to only increase it again later.
 
BIGWOODY said:
If you're running it as a primary source of income or do lots of work for people you don't really know, then I'd keep it above board. The first time something screwy happens and a customer is pissed, anything can happen and possibly expose your lack of tax collecting actions.I don't like and won't like paying taxes, unfortunately they are like a vaccination for this horrible condition known as the IRS.
If you're a guy working in the garage at the house doing side work for family and friends, then I wouldn't worry too much about it.
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agreed. I haven't thought about the whole customer liability side, and yes I like to build my immunity to the IRS. It is also my primary income so that's why I have been very diligent in getting my accounting under raps.Its been a steep learning curve. And I am most definitely not the guy opperating out of the backyard garage. Dave warned me a legitimate brick and mortar business was like natural child birth.
 
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