Washington DC Sales Tax Attorney
If you are undergoing a sales tax audit in Washington D.C., at the very least, you are just looking at a 6% sales tax without the worry of local and county additional rates. Our firm focuses on taxable versus non-taxable transactions. This helps the auditor understand your transactions to help determine what is or not taxable.
What’s usually taxable:
Tangible products are taxable in Washington D.C. , with a few exceptions. These exceptions include certain groceries, and certain equipment sold to businesses.
Sales tax on services:
Sales tax is applied at the rate of 5.75 percent on charges for providing information services. If you are undergoing an audit, then your invoices must clearly state what kind of services you offer. If you do not itemize your invoice, then, there is a good chance that the auditor will conclude that the services are taxable.
Examples of non-taxable services:
Services to individuals and businesses – things like haircuts, medical bills, consultant fees, etc. – are not “personal property,” and most services are not subject to sales tax. Residential house cleaning services are taxable in D.C.. Cleaning services must collect and send sales taxes to the Office of Tax and Revenue.
Washington DC Sales Tax Attorney
