Question

Business Expenses > Taxes & Licenses - "Sales/Use Tax" question

Forum|Forum|2 years ago
April 13, 2023
1 reply
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Under Business Expenses > Taxes & Licenses - it says to include "Sales/Use Tax and/or TPT". For my business, I collect Sales and Use Tax from customers and pay it monthly to CT on OS-114. I also purchased a few good for my business online that were not taxed, and then paid the taxes on those on the same OS-114. Sales and Use Tax does not show up on my P&L, so I assume I do not include that in business expenses?

TurboTax Home & Biz Windows

AmyC

Sales tax that you collect is neither income nor an expense for you. See Pub 535.

Items for your business would include sales tax as part of the purchase price.

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B

BpexAuthor

Sales tax that you collect is neither income nor an expense for you. See Pub 535.

Thanks. So in layman's terms I would not do anything with those in TurboTax?

Items for your business would include sales tax as part of the purchase price.

Oh. Now I remember I added an expense transaction on top of the initial purchase price, in the same category- so it is counted already in expenses!

Thank you