In the world of photography, packages are sold for $xxx and this could or could not include sales tax. Being specific with your customers is a must!
For me, I choose to have my sales tax included in my prices so that there are nice round numbers for what has been paid and what is owed. To do this, you may charge your package amount (lets say it's $100) and calculate & pay your sales tax after the fact.
Here's an example of how you would do that:
Lets say you have a total sales tax rate of 8% for a purchase of $100. To figure out what the sales tax would be, complete the following steps:
You can use this method with other rates by replacing the "8". Let's say you have a 9% sales tax rate, then you would divide by 1.09.
*Update* Apologies for a previous typo indicating 95.59 instead of 92.59
Traveling Wedding, Elopement, and Brand Photographer based in the PNW. Learn More!
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