Sales Tax on Services?
I’m trying to find someone to do some demo/hauling. One guys said I would have to pay sales tax if I wanted to write a check. But no sales tax if I can pay cash. So shady, don’t you think? So I’m wondering, is there even sales tax on services? Sucks that we are really…
I’m trying to find someone to do some demo/hauling. One guys said I would have to pay sales tax if I wanted to write a check. But no sales tax if I can pay cash. So shady, don’t you think?
So I’m wondering, is there even sales tax on services? Sucks that we are really needing to do this to move on and can’t find anyone else to call…
“Back40”, thank you, I stand corrected.
http://www.tax.state.ny.us/pdf/publications/sales/pub862_401.pdf
As for the insurance ask him for a Certificate of Insurance for this job and call the agent who issues it if you want to be sure
honestly, no, sorry if it is hard to believe. Just asking a question and I guess I know now where most of stand on this stuff…
Oh, please…who’s kidding who? You haven’t been wounded or deceived by the quote. Hire him or don’t hire him. Pay by check and pay the tax…most of us do. Or pay with cash and accept equal responsibility for the “discount” economy. But to post as if you’ve NEVER encountered this option in your short, pure life? Hooey…
I’m asking because he quoted me a price when he was here. So when I called back to recheck his availability and payment schedule, I was a little surprised to hear about the extra that would be required for “sales tax” if I wanted to pay with a check. Hmm, so no one here really has issues about a real business skipping out on paying taxes from their earning?
I know when we buy food or stuff from a store we pay taxes. I was trying to recall if I’ve ever paid taxes on services, like a haircut…
@GinoinGreenpoint this has nothing to do with the IRS. It is a state and city tax based on state law.
So how much are they charging for the demo and the hauling?
Don’t look a gift horse in the mouth. pay the cash or pay more.
You can go to the IRS website and research the tax laws for businesses like this. I imagine they have to collect and file taxes. Some businesses seem to operate this way, since there is no paper trail as with a check, they don’t charge tax on a cash transaction.
yes it is taxable, yes he is giving you an 8% discount for untraceable cash. And yes, a whole lotta businesses do it.