DIY Products

DIY Products

Whether you’re an experienced do-it-yourselfer or doing your own taxes for the first time, this is your place to learn and share. Here you’ll find information and resources for using H&R Block’s online and software DIY solutions. You’ll also find links to more information to assist you on your DIY journey.

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Pioneer
Posts: 1
Registered: ‎05-09-2017

Cleaning Service Taxes

I own a cleaning service in Iowa City, Iowa. Over the last year, I have taken on several clients who only required one clezning. It's the same cleaning that you need when you move out of your home in order to get it ready for the new tenants. 

1) Should I be charging sales taxes to Landlords? 

2) Shold I be charging sales tax to home owners who are looking to show the home to sell after our cleaning... as this could be seen as a source of income for the home owner.

 Could some ok new please help me? It just becomes a very sticky area in my line of work. Thank you in advance.

 

 

Tax Pro
Posts: 5,777
Registered: ‎02-23-2016

Re: Cleaning Service Taxes

HI Coadyawhitsel,

 

Welcome to the H&R Block community.

 

In most states most businesses offering a service are not required to collect sales tax.  You should check with your state tax collector's office or department of revenue to see whether or not you need to collect this tax though.  If you are required to collect sales tax then you would only collect it from the owner of the property who paid you for the job.

 

If you have any other questions I'll be glad to help.

 

Louis,

Senior Tax Advisor (Tampa, FL)