Financial & invoicing terms explained

Sales tax

Sales tax is imposed by many US states and localities on retail sales of taxable goods and services.

Nexus

Economic nexus rules mean remote sellers may owe tax in more states than before.

Exemptions

Collect and store exemption certificates—charge tax when missing.

Line items

Show taxable vs non-taxable lines and rates clearly.

Sales tax — FAQ

Nexus?
Connection to a state/province that creates tax obligation.
Tax-inclusive pricing?
Say so on the invoice to avoid disputes.
Exemptions?
Collect certificates and store with the customer record.
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