We’ve discussed your system for paying employees and independent contractors. Let’s now discuss how you will be paid.
Your payment gateway is the name given to your method of collecting money. You need an easy (and legal) way to collect what you’ve earned whether you provide freelance services, set up shop at a local farmer’s market, or run a global e-commerce business.
The manner in which you collect money will vary depending on the nature of your business. Let’s go over some possibilities.
- For an online service business – Transactions will be online and mobile and internet banking will be the way to go. Sending an invoice as proof of payment would fall under your responsibility.
- For a brick-and-mortar shop – A point of sale system with a cash register and card reader would be a requirement. You would be handling physical cash, debit cards, credit cards, and coupons. You will need to furnish receipts from your invoicing system.
- E-commerce shop – Most sites have in-built payment gateways. These are always the simplest to implement because they are already integrated with your website.
The tax laws are very complex. Our short blog articles cannot cover in full all the nuances of the rules. Your specific facts may hold various opportunities and possible risks that only trained, experienced, and highly qualified tax specialists can spot. We encourage you to find such help, rather than trying to figure it all out on your own. Consider giving this marketplace a try by posting your project and signing up here.
If you are a licensed tax professional and are interested in helping others either part or full-time, or ad hoc, come on in! Happy to have you. Our marketplace has the full suite of tools to communicate with clients including compliance calendars, task and message management, and billing. You can also quickly connect to knowledgeable colleagues who can complement your services with the ones you do not provide. Register here.