2 replies to this topic

[wjt]

Charitable Organizations
Food and drinks sold for 25 cents or less through a coin-operated vending machine sponsored by a charitable organization qualified under sections 501©(3) or 501©(4), Internal Revenue Code, are exempt.
I am using The National Children's Cancer Society, so I am using their stickers and pay money to them. So, am I being sponsored by them? Someone help me. WJT

[wjt]

Charitable Organizations
Food and drinks sold for 25 cents or less through a coin-operated vending machine sponsored by a charitable organization qualified under sections 501©(3) or 501©(4), Internal Revenue Code, are exempt.
I am using The National Children's Cancer Society, so I am using their stickers and pay money to them. So, am I being sponsored by them? Someone help me. WJT

I talk to the DOR and they said that I would not have to pay sales tax, just income tax to the IRS. Cool, that's fine with me. WJT

[bulkvending.blogspot.com]

In regard to sales tax -

Even if you are exempt your are required to file even if you owe zero tax after the exemption. There is a telefile number you can use over the phone to report total sales, amount exempt and thats it. You are required to file quarterly. There is a $50 penalty for not filing each quarter.

In regard to income tax

Total Sales - expenses = Net Profit
Net Profit is what you will be required to pay taxes on.

I recommend using TurboTax for Business as it walks you through all of the steps.

http://www.bulkvending.blogspot.com