Lucy's Tax Service, LLC

05/11/2026

HI THIS IS LUCY AT LUCYS Lucy's Tax Service, LLC PLEASE DON'T MISS THIS FREE NETWORKING EVENT OUR VERY FIRST !!! SMALL PRIZES WILL BE GIVING OUT MUST BE PRESENT TO ENTER AND WIN...

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04/23/2026

04/06/2026

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03/28/2026

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03/02/2026

Email from LUCYS TAX SERVICE LLC HOW TO CHECK THE STATUS OF YOUR REFUND HOW TO CHECK THE STATUS OF YOUR TAX REFUND ONLINE IF YOU HAVE CHILDREN AND ARE GETTING EARNED INCOME TAX CREDIT AND CHILD TAX

02/22/2026

How To Document Repairs vs. Improvements | Tax Planning | Anderson Business Advisors If you're a real estate investor, every dollar you keep out of the IRS's hands goes straight back into your return. And few areas create more confusion--or more audit r...

02/22/2026

02/22/2026

02/22/2026

📊 SALES TAX (CONSUMPTION TAX)
Financial Accounting

1️⃣ Core Concept
A consumption tax
Charged on goods and some services
Paid by the final consumer
Collected by businesses
Remitted to state/local governments
There is no federal sales tax in the U.S.

2️⃣ Who Controls It?
State governments
Counties
Cities
Some states charge 0%.
Most charge between 4%–7% plus local additions.
Sales tax rates vary by location — not nationwide.

3️⃣ Accounting Treatment (Exam Focus)
Sales tax is:
✔ NOT revenue
✔ A current liability
✔ Collected on behalf of government
Journal Entry Example
Sale of $1,000 with 6% tax:
Dr Cash = 1,060
Cr Sales Revenue = 1,000
Cr Sales Tax Payable = 60
Only $1,000 affects income.
$60 is a liability until remitted.

4️⃣ Financial Statement Impact
Income Statement
Revenue excludes sales tax
Balance Sheet
Sales Tax Payable = Current Liability
Cash Flow
Increases operating cash temporarily
Must be paid later

5️⃣ Sales Tax vs VAT (Conceptual Comparison)
USA Sales Tax
VAT System
Charged once at final sale
Charged at each production stage
Retail-level tax
Multi-stage tax
State-based
National system
Accounting treatment differs significantly under VAT.

6️⃣ Economic Insight (Teaching Angle)
Sales tax is:
Regressive (higher burden on low-income earners)
Encourages saving
Major revenue source for states

7️⃣ Common Student Mistakes
❌ Recording sales tax as revenue
❌ Forgetting to record liability
❌ Confusing VAT with sales tax
❌ Ignoring multi-state compliance issues
🔎 Summary for Financial Accounting Students
✔ Consumption-based tax
✔ State-controlled
✔ Business is collection agent
✔ Creates liability, not income

02/22/2026

https://youtube.com/shorts/7FrQ5ECAsSg?si=KLau5pcIHd4OdUK7

LUCY’S TAX SERVICE LLC EASY 3 STEP PROCESS👌 Please complete step 1 and upload documents on step 2, step 3 is optional LUCY’S TAX SERVICE LLC CLIENTS EASY ...