Customer didn't pay sales tax in Ohio....

Discussion in 'Business Operations' started by LawnScapers of Dayton, Oct 28, 2004.

  1. LawnScapers of Dayton

    LawnScapers of Dayton LawnSite Silver Member
    Male, from Dayton, OH
    Messages: 2,572

    I searched on this but didn't fine anything....

    I have a customer that didn't pay the sales tax on her last invoice.......

    I am not worried about losing her as a customer, she is gone anyway......But I want to point out to her that she is breaking the law by not paying the tax...

    Is there somewhere to report her in Ohio.....


  2. LLCO

    LLCO LawnSite Member
    Messages: 55

    I am not sure that she is the culprit if she is paying the invoice that was given to her. The problem is the other company that is not charging it. That is the violation of law which Ohio takes sales tax very seriously.. penalties are very substantial.
  3. LawnScapers of Dayton

    LawnScapers of Dayton LawnSite Silver Member
    Male, from Dayton, OH
    Messages: 2,572

    if you are implying that I am not collecting sales tax you are wrong. It was listed on the invoice. I think she forgot about it because she was pi$$ed about the $1.50 fuel surcharge for one week last month. But now she said to just consider her paid up without paying the tax......

    This really isn't about the money it is principal now.

  4. LLCO

    LLCO LawnSite Member
    Messages: 55

    My bad... i thought that you were talking about an invoice from another LCO.
  5. Dman1214

    Dman1214 Banned
    Messages: 118

    My daddy always said - "worry about the big stuff"
  6. LwnmwrMan22

    LwnmwrMan22 LawnSite Platinum Member
    Messages: 4,373

    I'd just hand write it on the next invoice "3.40 for sales tax not paid on October 2nd invoice" or something like that, circle it, and add it into the total for the next invoice.

    Had to do it many times over the years. It's always been paid, sometimes even with a phone call saying sorry, over looked that part.

    The way my invoices are, computer generated, the line item lists out, with a total, and then at the bottom of the page it lists sales tax, then invoice total. Many times people don't take the time to look at the bottom of the page, they just see a total for the line item, ie "monthly maintenance payment for October.......... 234.74." Then don't look at the bottom to see the sales tax for $15.26, and just send me a check for 234.74.
  7. lqmustang

    lqmustang LawnSite Senior Member
    Messages: 620

    Just as an example, but in my area tax on a $30 lawn is $1.95. If you have 50 lawns averaging $30 each, that would be $97.50 per week you have to eat if your customers are not paying tax. To go a bit further, with a 32 week cutting season that would come to $3120.00. Your daddy was right, I would worry about the big stuff. Doesn't take long to add up. :waving:
  8. Dman1214

    Dman1214 Banned
    Messages: 118

    Don't take it too literal, all I'm saying if u get F'd out of tax every once in a while, keep it in perspective - it's not a big deal. Keep your energies focused on the things that are going to make you the most $$. Let me put it this way, how is your time better spent? Tied up trying to collect a few $'s, or going out and selling, or coming up with a better way of doing things (systems), i could go on and on. As a told a wise gentleman yesterday (I'm being Kind here), any business, ours especially, is about 2 things and 2 things only - Getting customers and keeping customers - everything u do sould be directed to that goal. And I said I would not pontificate. Sorry
  9. DiscoveryLawn

    DiscoveryLawn LawnSite Senior Member
    Messages: 408

    I have this problem from time to time. I send them an invoice with sales tax balance from previous invoice. If they are no longer a reg. customer I really do not pursue them. If they are on going client I add it to next invoice. If they simply refuse to pay sales tax I guess I would tell them I will have to raise the price to cover the tax that I will have to pay for the sale or drop them?

  10. Green Dreams

    Green Dreams LawnSite Senior Member
    from Texas
    Messages: 593

    The point I am taking from all of this is that you let a cussamah walk for $1.50. It costs me more than that to attract one. I Know I am sick of being nickled and dimed. Lesco sure has peezed me off with their tacky charges.

    Prices go up. I'd have just said that "I had to go up x% to keep up and you are appreciated."

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