How is an internet sales business regulated as far as taxes are concerned?

Attorney answers (4)

1. 

   Mitchell Goldstein

   Glen Allen Internet Lawyer

   Contributor Level 20

   4

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   Answered June 19, 2012 07:05. This question is far more complicated than someone can answer online. It all depends on where you sell, where your customers are located, where you are located, what you are selling. Hire a tax and business attorney before going forward. The laws, especially on sales taxes, are rather complex.

   Mr. Goldstein is a Virginia-licensed attorney only. The information is not, nor is it intended to be, legal advice.... moreMr. Goldstein is a Virginia-licensed attorney only. The information is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation. Answering this question does not in any way constitute legal representation. Contacting Mitchell Goldstein or the Goldstein Law Group does not constitute legal representation, nor is any information you provide protected by attorney-client privilege until otherwise advised. less

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2. 

   Jonathan Marashlian

   Mc Lean Internet Lawyer

   Contributor Level 9

   3

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   Answered June 21, 2012 17:31. Taxation of sales over the Internet is extremely complex. There is no simple or single answer to your question because taxation determinations are very fact specific and jurisdiction dependent. And taxation of sales over the Internet make the analysis even more complex due to the disparate expansion and reviewing court treatment of so-called Amazon laws which have been passed in numerous states in the past several years. It is highly recommended that you seek professional guidance and assistance.

   Your receipt of this informational response is not intended to create, and receipt does not constitute, a contract... moreYour receipt of this informational response is not intended to create, and receipt does not constitute, a contract for representation by Marashlian & Donahue, LLC. This informational response is not intended to substitute for obtaining legal advice from an attorney. No person should act or rely on any information provided herein without seeking the advice of an attorney. less

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3. 

   James Sutton

   Tampa Tax Lawyer

   Contributor Level 12

   3

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   Answered June 24, 2012 17:31. I agree with the first two answers in that sales tax on internet transaction is a very, very thorny issue right now. States are constantly trying to impose collection responsibilities in ways that, in my opinion, far exceed the constitutional limitations. Furthermore, if you decide you don't have to collect sales tax in a jurisdiction and the state asserts that you should have collected sales tax, then your company could be liable for the tax (or at least liable for the expense of defending against the state's assertion).
   
   Hire a good state and local tax attorney to advise your company and get a good software company to run your internet based sales. The software company can be just as important as the attorney, which is something I don't say often.
   
   I hope this helps.
   
   Warm regards,
   
   James Sutton, CPA, Esq.
   www.FloridaSalesTax.com

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4. 

   Barry Poulson

   Hillsdale Internet Lawyer

   Contributor Level 20

   1

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   Answered June 20, 2012 17:44. As with the formation of any business, consulting with an attorney is part of the business plan. One aspect is taxation. For an online company, taxation takes on new dimensions. Tariffs are another dimension, and require expert advice. Good to be in business, but a lot of work up front protects you down the road.

   We do not have a client/attorney relationship until you make an appointment, we discuss your case face to face, I... moreWe do not have a client/attorney relationship until you make an appointment, we discuss your case face to face, I accept a retainer, and we explictly agree to enter into representation. less

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