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Dec 19, 2024
What are the key compliance steps when acquiring and registering a business for sales tax in Massachusetts?
When acquiring and registering a business for sales tax in Massachusetts, key compliance steps include: 1. Obtain a Federal Employer Identification Number (FEIN): Apply through the IRS website. 2. Register via MassTaxConnect: Create an account and complete the Sales and Use Tax Registration form with detailed business information. 3. Secure a Sales Tax Permit: Receive the Sales and Use Tax Registration Certificate upon approval. 4. Update Tax Accounts: Ensure the Massachusetts Department of Revenue reflects the change in ownership. 5. Collect and Remit Sales Tax: Start collecting sales tax on taxable transactions and remit through MassTaxConnect. 6. Maintain Records: Keep accurate records of all sales, taxes collected, and exemptions claimed. 7. Update Licenses: Renew or update any business licenses affected by the acquisition. 8. Consult Professionals: Engage with tax advisors to navigate complex compliance requirements and ensure all steps are properly executed.



