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You are here: Experts > Business > Corporate Law > Tax Law (Questions About Taxes) > Retail Tax...double tax?
Expert: Helen P. O`Planick, EA - 11/5/2009
Question I am a salon owner and purchase my product for retail including hair color from a distributor. I pay tax on all these products. I turn around and retail it to my clients. My question is, if this is already taxed do I charge my clients tax for the product they purchase from me? My CPA said that I shouldn't charge them tax since it has already been paid by me. Not sure if it's right or not.
Answer You must charge tax to the end user. You need to check with your state's taxing authority and find out if you can either get a resale license or take a credit on the taxes paid by you already. Your CPA is way wrong in telling you NOT to charge sales tax.
Helen, EA in PA
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