Sales Tax Mistakes That Could Cost You When Selling Your Business With Jessica Rhoads [Ep.181]

As Benjamin Franklin famously said, "In this world, nothing
is certain except death and taxes." But for online business
owners, taxes aren't always so certain, especially when it comes
to sales tax.


In this episode, we're joined by Jessica Rhoads. Jessica is
an internationally experienced CPA and
self-confessed "dumpster fire accountant" who specializes
in helping business owners untangle messy tax situations.


We cover the key types of taxes every entrepreneur should
understand, and zoom in on the one that's most commonly
misunderstood, and most likely to derail a future exit:
sales tax.


Jessica breaks down how sales tax applies to non-tangible
goods like SaaS products and apps, what triggers a sales tax
nexus, and why ignoring it can lead to massive headaches during
due diligence. She also shares insight on the best and worst
states to set up your business from a tax standpoint, when to
file a Voluntary Disclosure Agreement (VDA), and how to stay
compliant if you're selling across borders.


If you're building a business with the goal of selling one
day, this episode is a must-listen. It could save you from tax
troubles that scare off buyers, or cost you more than you
bargained for.
Topics Discussed in this episode:


The different types of taxes businesses should be aware
of (03:45)


Why sales tax is so important when selling your business
(06:49)


How sales tax is applied to software and apps
(11:43)


An overview of sales tax nexus (17:30)


The different tax softwares that can help you figure out
your taxes (19:50)


The best and worst states to set up your business in
(23:07)


How to stay compliant if you have sales tax nexus
(28:16)


How tax works if you're selling in foreign countries
(30:37)


When to file a VDA (33:56)


A major misconception founders have about sales tax that
hurts them later (39:39)

Mentions: 


Empire Flippers Podcasts


Empire Flippers Marketplace


Create an Empire Flippers account


Subscribe to our weekly newsletter


Jessicanomics.com



Sit back, grab a coffee, and learn how to get your business
taxes in order - before it's too late.