CUSO
Level 3
04-17-2023
02:36 PM
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Hello,
I have a client who purchased some goods from a foreign seller. They did not collect sales tax on the purchase. Do you know if the client is responsible for reporting that sales tax on their personal income tax return? If so, how do I do that?
BobKamman
Level 15
04-17-2023
02:39 PM
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If the client is in California, the Franchise Tax Board has a way of tracking down the transaction and collecting Use Tax, if you don't show it on the appropriate line of the Form 540. In other states, results may vary.
sjrcpa
Level 15
04-17-2023
03:34 PM
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It depends on the state.
Some states have a place on the personal income tax return for use tax.
In other states, use tax is a separate filing.
The more I know the more I don’t know.
