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.