Just like keeping your e-mail account information and your secure payment information, sales records are also very important. Remember, keeping good records is critical to the success of any business

Sales Tax

• Consult with state tax authority to determine current policies.
• Sales tax may be state, county, or city specific.
• Most states do not require the Internet seller to pay sales tax on out-of-state sales.
• Local Extension educator assistance will be important as they can
  assist you with setting up a sales tax account if necessary.
• State income tax form (state-dependent)
  http://www.taxadmin.org/fta/rate/tax_stru.html

Income Tax

• Profits from e-commerce sales are subject to taxes
• Federal, state, and local income taxes
• Self-employment taxes
• Portion of e-commerce revenues should be set aside in a bank account
• Forms to become familiar with: IRS Schedule C

e-Commerce Simple Monthly Sales Ledger