aSSISTING cLIENTS WITH STATE AND FEDERAL TAXATION

At Atom Law Group, we are here to help educate our clients with the basics of taxation laws for individual states and federally. Our goal is to help give you the tools you need to help you find the right Certified Public Accountant to assist in future tax filings and preparation.

State Taxes for International Businesses

State governments collect several different types of taxes, including:

  • Sales tax: a tax on the retail sale of goods and services.
  • Income tax: a tax on individuals' and businesses' income.
  • Franchise tax: a tax on businesses for the privilege of operating within the state.
  • Gross receipts tax: a tax on the revenue of a business.
  • Use tax: a tax on goods and services used within a state but purchased from out of state.

This list is not exhaustive, and depending on the state, there may be some other taxes collected.

The Federal Government Can Assess Several Types of Taxes on a Business, Including:

  • Income tax: businesses must pay income tax on their profits.
  • Self-employment tax: businesses that are sole proprietorships or partnerships must pay self-employment tax on their net income.
  • Employment taxes: businesses must pay employment taxes, such as Social Security and Medicare taxes, on the wages they pay to employees.
  • Excise taxes: businesses that manufacture or sell certain goods or services may be subject to excise taxes.
  • Sales and use taxes: businesses may be required to collect sales and use taxes on the goods and services they sell.
  • Property taxes: businesses may be required to pay property taxes on the property they own.
  • Import and export taxes: businesses that import or export goods may be subject to import and export taxes.
  • Franchise taxes: certain states charge annual franchise taxes on businesses based on their net worth, income, or other factors.
  • Gross receipts tax: certain states charge an annual gross receipts tax on businesses based on their total revenue.


It's worth noting that some of these taxes may not apply to all businesses, and businesses may be eligible for tax credits or deductions that can reduce their overall tax liability.

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