Sales tax fun

12sndsgood · Oct 18, 2012

So I have been trying to do everything by the book registering, getting setup legally. even paying my sales tax to the wonderful state of Indiana. well I apparently took me under 4 months to screw up somehow. With my state I only pay sales tax on photos I sell. So my session fees are tax free. and I'm still taking things slow so I don't screw up like I did here apprently so Have only had small sales tax to pay. if at all. I have to report or pay monthly and looks like for july I made a mistake and either didnt file, or didnt file right. Got a letter today from the state saying that they propposed assesment for july was $500 along with a $50 penalty and interest. my august sales tax was I belive around $4 dollars. no sales tax in september I guess they like to round up lol. So I get to call them today and see what happened and try to take care of this. Wish me luck.

12sndsgood · Oct 18, 2012

Well I called. heard I was fifth in line to be answered, then was second in line. then was sixth in line, wait, what? is that how it goes? well got it all straightened out. I'm going to guess that I just failed to file. so I popped in my return and everything was good. even talked to the women to verify that what i was doing tax wise was right and legal. so that is a relief.

I did think it was a bit fnny that there are thousands of people out there not sending the state a single dime off of the stuff they sell, and here is a person trying to do it the right way and i get a huge bill and late fee with interest. I know they can't go after those people due to resources and stuff, but just thought it comical

MLeeK · Oct 18, 2012

The $500 is the average figure for a business that is registered the same as yours in the state.
Which leads me to those who aren't paying the sales tax... You had to pay a whopping $4 plus postage and a few minutes of your time to protect your a$$. HOWEVER... those that don't feel like doing it for feel that they have to... That $500 plus penalty is what they can charge them. AND that is for each month that they determine you have been operating without paying sales tax. THAT could add up REALLY fast.
6 months x $550=$3300... and that's not very much time covered!!

jhodges10 · Oct 18, 2012

12sndsgood said:
I did think it was a bit fnny that there are thousands of people out there not sending the state a single dime off of the stuff they sell, and here is a person trying to do it the right way and i get a huge bill and late fee with interest. I know they can't go after those people due to resources and stuff, but just thought it comical

No good deed goes unpunished. Glad they straightened it out for you, nothing like a 13,750% penalty.

12sndsgood · Oct 18, 2012

oh I agree Mleek, its why i went this route. I dont want to have to ever look over my back and worry about something that really isnt' difficult to deal with. and jhodges, they were really good to work with, she answered all my questions, helped me on some things i had questions with. was nice to come out of dealing with the goverment and feeling like you got screwed lol. Kind of glad it hapened because it cleared up some things that I had wanted to make sure were right, so it ended on a positive note.