|Georgia state sales tax||4.00%|
|Fulton County sales tax||3.00%|
|Combined Sales Tax:||7.00%|
If you are a business owner in Alpharetta, GA, then, you have to collect sales tax on your sales to your customers worth 7%. Under audit, this 7% will apply to all sales unless there is some sort of exclusion. An exclusion usually applies to sales made to charitable organizations. However, these must be documented with invoices and reseller certificates when it comes to sales made to businesses that will again resell the product.
If you are purchasing consummables (things that your own business will use up), then, you can take advantage of the 4% Georgia sales tax rate as long as you are paying the use tax worth 4% and you are buying your consummables from an out-of-state vendor. Many of our clients run into problems where they buy merchandise from an out-of-state vendor and simply do not pay any tax on the item. It is not the out-of-state vendor’s responsibility to collect sales tax in their state or in the state of Georgia. However, it is the Georgia business owner’s responsibility to pay either the sales or use tax on this particular merchandise.
To streamline the process, collect all of your receipts from out-of-state vendors and file a use tax return every month or every year for all of the use tax that you owe on the consummables that you purchased from out-of-state. This way, when you are under a sales tax audit and the auditor goes looking for the unpaid sales tax on your own supplies and machinery, then, you can easily refer to your use tax returns and show that tax was paid. Again, you are saving 3% on all of your purchases, so might as well take advantage of the discount.
Sales Tax Audit Attorney Alpharetta