Georgia Lawn Care Business Sales Tax Requirements

[DeMenkey]

How much do you collect on the state and fed taxes from each person/job. And how much to I save in the bank to pay taxes at the end of the year. How does this work anyways? I live in White County, Georgia.

[LawnBoy0311]

Lawn care business tips

collect cash. what the IRS don't see, the IRS don't know... Obviously kidding.

[Steve]

How much do you collect on the state and fed taxes from each person/job. And how much to I save in the bank to pay taxes at the end of the year.

This will be based on a number of factors. But if you can estimate which tax bracket you will be in, you can estimate how much you need to save and then pay your estimated quarterly taxes.

You can look up the tax brackets though in your state and the federal government and get a better estimate.

Also remember you are not just going to pay state and federal income takes, you also have to pay self employment tax.

"The self-employment tax in the United States is typically set at 15.30% which is roughly the equivalent of the combined contributions of the employee and employer under the FICA tax. The rate consists of two parts: 12.4% for social security and 2.9% for Medicare. "

I don't mean to scare you with all this, just make you aware. Will you be handling your accounting/taxes or will you have an accountant do it?

[CHEESE2009]

Originally Posted by LawnBoy0311

collect cash. what the IRS don't see, the IRS don't know...


Obviously kidding.

hehehe

[DeMenkey]

I'm gonna do it this year than hire an accountant.

[Steve]

Keep us posted on how it goes for you. I am sure you will do fine. The first year though is always an eye opening experience.

[Martywdx]

In Iowa sale tax is collected on gross sales with lawn-care services, not net,except for snow removal. No sales tax need be collected for the state. go figure

[branchoutshrub]

Hiring an accountant is the best way to go. I did it 3 years ago and its made life a lot easier. Granted he charges a bit for his services, but it makes taxes a little less stressful. I pay taxes quarterly to help ease the pain.