Talking Internet Taxes, Outright
As one of the first beta testers for Outright, accounting software for small businesses and those who are self-employed that was launched in 2008, Kat Simpson has seen her fair share of changes affecting online sellers. Perhaps no fluctuations as impactful as the one facing Internet retailers today, however.
“We are in the middle of a new era and whether or not the Marketplace Fairness Act passes will make a huge impact on how we proceed,” said Simpson. “Currently my advice is hold and keep an eye on our Senate.”
Simpson, who started her business in 1997 selling household items on eBay for extra money around the house, currently has a branded store, Kat's Boutique, on eBay selling products invented by and used by women. She also sells some of everything on the Amazon FBA platform.
In addition to tax changes, Simpson has seen changes to Outright, a solution she relies heavily on. In 2012, Outright was acquired by Go Daddy, a natural fit as both companies are passionate about helping small businesses grow. Go Daddy helps companies get online, and Outright helps them stay there with bookkeeping needs.
“I use Outright each week to reconcile my books, keep an eye on expenses and prepare for taxes,” said Simpson. “Monthly, I use the Sales Tax Reports to help me file sales taxes in the 10 states in which I have a presence thanks to FBA and at the end of the year I rely heavily on Outright to help prepare my income taxes.”
For those companies needing extra assistance in regard to the impending Marketplace Fairness Act, Priyanka Sharma, Product and Marketing at Outright, says they’ll be there to help.
“Regardless of what happens, Outright is committed to helping small businesses understand their sales tax obligations,” Sharma. “We have easy sales tax reporting so that sellers can see how much sales tax they have collected and submitted. Additionally, our blog, The Bottom Line, provides tips and information for online sellers, including a state-by-state guide to sales tax collection.”
Outright’s sales tax report also shows sellers how much they have collected in sales tax. Its sales-by-state report shows how much they have sold for the year in each state, so that they can determine whether they have met the limits that require them to collect sales tax.