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Cole's Yard Works
09-15-2012, 03:54 PM
Didn't find a topic to put this under so I guess this will work. My questions are, What exactly do you collect tax on? do you tax your customers? Also, do I need a business licence for the state of PA? Will I need to have a DBA to get insurance and a business bank account? Last question, if you are going to do general handyman services which may involve some building do you need a Contractors Licence? Thanks

stevef1201
09-15-2012, 05:57 PM
Listen up. Pay very close attention. YOUR local government will have all that information, and it's FREE, just a few hone calls. The government here has different requiremnets than yours so I cannot tell you.

Hedgemaster
09-15-2012, 07:51 PM
Oh, you're in for a treat.

PA SALES TAX is mind boggling.

Mowing grass - Collect sales tax

Hedge trimming - Do not collect sales tax

Hedge trimming IN CONJUNCTION with mowing grass - Collect sales tax



It's insane.



As far as I'm aware there is no "license" for general lawn care.

I don't know if there's an actual "contractor's license", but if you are doing any "home repair" (and the definitions are just as confusing as the sales tax stuff) you need to register with the state and get a HIC number. (Home Improvement Contractor number) That is only if you make over "x" amount/year though.

Here's a few links that will either help, or make your eyes bleed...

http://www.paopen4business.state.pa.us/portal/server.pt/community/pa_open_for_business/7176

http://www.portal.state.pa.us/portal/server.pt/community/revenue_sample_community/10648




Sales Tax link - you can sign up and ask questions if you can't find what you're looking for in the FAQ... I did and they answered within a day or two.

https://revenue-pa.custhelp.com/app/answers/detail/a_id/203/~/how-do-i-know-which-items-or-services-are-subject-to-pennsylvania-sales-tax%3F



HIC Link...
http://www.attorneygeneral.gov/hic.aspx?id=4313


Enjoy! :)

Steve
09-17-2012, 11:12 AM
I think you need a sales tax license before you can collect sales tax too.

calimondialandco
09-18-2012, 03:57 PM
I went to a 'taxes for small business owners' seminar last night and was told that services are not taxed but anything tangible that is brought to the worksite (i.e mulch, shrubs, fertilizer) should be sold with a sales tax. Also, sales tax is reported monthly and should be kept in a separate account. this is for a parish(county) in Louisiana.

also, call you local gov't. it's confusing as sheet and doesn't make any real logical sense. :eek:

mark123
09-18-2012, 05:06 PM
PA SALES TAX is mind boggling.

Mowing grass - Collect sales tax

Hedge trimming - Do not collect sales tax

Hedge trimming IN CONJUNCTION with mowing grass - Collect sales tax

Fertilizing - collect tax

Leaf removal - do not collect tax

Snow removal - do not collect tax

Lime - collect tax

http://members.verizon.net/vze47msr/smiles/crazy.gif

http://boughterslawncare.com/Article/Paying-sales-tax-on-lawn-care

Etides makes submitting collected tax to the state very easy.

Steve
09-19-2012, 12:14 PM
Some states differ too on when you need to file it quarterly or monthly.