is there any percedure would not require the separate record for collecting and accounting for sales taxes, yet comply with a state's requirement to collect and submit sales taxes based on sale of merchandise sold?
Jerson -- Since few (if any) of our volunteers are accounting experts, you may not get an answer to this questions.
do anyone have an idea
Yes, there is a procedure called "sales tax inclusive pricing" that allows businesses to incorporate the sales tax into the sale price of merchandise. This means that the sales tax is not separately stated on the receipt or invoice. While this procedure does not require separate record-keeping for sales taxes, it still ensures compliance with the state's requirement to collect and submit sales taxes.
To implement sales tax inclusive pricing, the business needs to follow these steps:
1. Determine the applicable sales tax rate: Check the state's tax authority website or contact them directly to find out the current sales tax rate applicable to your merchandise.
2. Calculate the sales tax rate: If the sales tax rate is, for example, 10%, divide the selling price by 1.10 (1 + 0.10) to get the price before the sales tax.
3. Deduct the sales tax from the selling price: Calculate the sales tax amount by subtracting the price before tax from the selling price. This amount will be the sales tax collected from the customer.
4. Submit sales tax to the state: Keep track of the total sales made inclusive of the sales tax, and submit the corresponding sales tax amount to the state tax authority according to their reporting and payment schedule.
By following these steps, businesses can streamline the process by avoiding the need to separately record and account for sales taxes, while still complying with the state's requirement to collect and submit sales taxes based on the sale of merchandise. Remember to consult with a tax professional or the state tax authority for any specific guidelines or regulations related to sales tax inclusive pricing in your jurisdiction.