Most of us have heard of sales taxes in the past with at least a vague idea of what it is: taxes imposed on sales. Although the concept may initially seem straightforward, the details behind when and where sales taxes are imposed in the United States can become unnecessarily complex without the appropriate resources. In addition, the concept of sales tax itself may be foreign to those who reside out of the US. Let’s spend some time covering the key concepts of sales taxes attributable to the US.
The decision to form either a limited liability company (LLC) or a corporation depends on the type of business that an individual is creating, the possible tax consequences of forming the entity, and other considerations. Both types of entities have the significant legal advantage of helping to protect assets from creditors and providing an extra layer of protection against legal liability.
Volatility continued to challenge investors in the first quarter as financial sector weakness, elevated inflation and an uncertain outlook for monetary policy sent markets through twists and turns after a strong start to the year. Despite this, many sectors have managed gains year-to-date, a welcome development after last year’s losses.
New startups always face the decision of where to incorporate. Often they have heard that Delaware is the ‘best’ place to incorporate for tax or corporate governance reasons. Business owners are not aware of the added duties and responsibilities of incorporating outside of your state of residence. The default should always be incorporating in the state of operations or residence.
For many Americans, 2022 was a very disappointing year with sharply rising inflation and interest rates, falling stock prices and the shock of Russia’s brutal invasion of Ukraine. These factors drove consumer sentiment down to its lowest level on record in June and has only staged a modest rebound since then.