07/17/2026
If you sell taxable goods or services (something you need to check in ALL the states you do business in, btw), this post is for you! 🫵
That money you collect as sales tax on each sale isn't actually money you've earned.
It needs to get remitted back to your tax authority at some point, so you don't want to treat it the same as your income.
Usually, the best treatment is to record the sales tax you collect as a current liability!
If you're not sure how to do this in your own bookkeeping, let's talk. That's what I'm here for!