How can I be sure I am complying with sales tax law as a vendor?

As a vendor, you need to make sure that you are complying with sales tax law. You surely know how important tax laws are and the trouble that you can find yourself in if you don't follow those laws. Here is how you can be sure you are complying with sales tax law as a vendor.

How to Get Licensed

To begin with, you need to check with your state's Department of Taxation to make sure that you are adhering to all rules and regulations specific to your state. A lack of knowledge is not an acceptable reason for not following sales tax law. In general, vendors who make taxable sales will need to apply for and obtain a vendor's license. There are several different types, such as regular, delivery, transient, and service vendor's licenses. You will need at least one type of license and possibly more than one.

Handling the Sales Tax Matters

Once you have obtained your vendor's license or licenses, then you need to collect the correct amount of sales tax whenever you conduct a transaction where sales tax is applicable. You will also have to maintain records of all these transactions. Finally, you will have to make sure that you file your tax returns while including the payment of those taxes that you collected.
You may wish to hire a lawyer to help you to understand the whole process and so that you do not encounter any problems later. This brief explanation covers the major details of the process, but you may have special circumstances that a lawyer will be able to further illuminate.