State tax, Do I have to pay it monthly ?

[EdwardRowan]

Do I have to pay the State tax each month with my new registered business or does square do that automatically ?

[TheRealChipA · Accepted solution]

Hey @EdwardRowan.  Square does not file or pay our sales taxes.  Any sales taxes collected from customers are deposited (less the card processing fees) in our deposit transfers.  There is a report in Square to help you determine the sales tax due, but you must file and pay that.

That being said, if you want to pay someone to do that drudge work for you, there are third party sales tax apps that do it all.  You’ll just need to head to the Square App Marketplace and search for “sales tax.”  There you will find apps like DAVO and Tax Jar, among others.

[TheRealChipA · Accepted solution]

Hey @EdwardRowan.  Square does not file or pay our sales taxes.  Any sales taxes collected from customers are deposited (less the card processing fees) in our deposit transfers.  There is a report in Square to help you determine the sales tax due, but you must file and pay that.

That being said, if you want to pay someone to do that drudge work for you, there are third party sales tax apps that do it all.  You’ll just need to head to the Square App Marketplace and search for “sales tax.”  There you will find apps like DAVO and Tax Jar, among others.

[EdwardRowan]

Thank you ! Can I use the Square payroll and taxes add on(its like $35 a month) to pay my sales tax and quarterly federal taxes for me so I dont have to deal with it ?

[TheRealChipA · Accepted solution]

@EdwardRowan No you can not.  Square Payroll only handles payroll-related taxes.  All other taxes — sales, etc — are our responsibility to file and pay regularly.  If you want to pay someone else to do this for you for sales taxes, you’ll have to go to the App Marketplace and check out one of the sales-tax third party apps there.

[Candlestore]

@EdwardRowan ;

As @TheRealChipA chip stated you are responsible for filing your state taxes out of your net deposits from Square.  You would also want to check with your state to see how often you need to report the collected taxes.  When I first started my business my state required me to pay quarterly.  Then when my payments were over a certain amount I had to pay monthly.  Now in my state if I pay before the Due date I can get a discount, and if I pay after the due date a penelty.  Just something to keep in mind when you do pay your Taxes.  What I am referring to is when I pay my collected State Sales Tax, currently we do not have to pay Income Tax monthly.