In 2007 I collected $712.02 in sales taxes, but i paid $1208.33 to the state comtproller. Did I overpay?? No! I under-collected! Aaarrgghh!!! I FORGOT to charge sales tax on 8 invoices to my second-biggest client. So, what do i do now--send 8 revised invoices to collect the sales tax retroactively? How emabarrasing! I think I'd rather not have my client think I am that flaky! Maybe I should just eat the $496 diiference and chalk it up as yet another very expensive "learing experience"?!?!?
Originally posted by Carol Gunn: In 2007 I collected $712.02 in sales taxes, but i paid $1208.33 to the state comtproller. Did I overpay?? No! I under-collected! Aaarrgghh!!! I FORGOT to charge sales tax on 8 invoices to my second-biggest client. So, what do i do now--send 8 revised invoices to collect the sales tax retroactively? How emabarrasing! I think I'd rather not have my client think I am that flaky! Maybe I should just eat the $496 diiference and chalk it up as yet another very expensive "learing experience"?!?!?
Hi Carol, Creative Business Magazine recommends putting something in your client agreement about being able to collect sales tax at a later date in the event of an audit or omission.
Eat it. How would you feel if a client of yours came after you for tax not collected. By the way if that happened to me and you were trying to collect my response would be how is this my problem. Your client is not responsible for you collecting taxes you are. They paid the invoice you gave them.
