SmallBusinessNewz

Washington Tax Laws Affect Small Businesses

The growth of Internet sales is causing some interesting tax issues for small business owners and casual sellers. My bookkeeper has spent hours on the phone with the IRS trying to figure the best way to handle the new Washington State tax regulations that went into effect July 1, 2008. You see, the system for local retail sales tax in the State of Washington has gone from an origin-based system to a destination-based system. Basically, how you tax goods now depends on where the product is shipped to, not on where the product comes from.