Module 6 · The Systems · 2 min
Taxes
What you need to know about taxes as a real estate photography business.
Transcript
Transcript of the recorded lesson. Recorded 2023, reviewed 2026.
In this video we're going to discuss the topic of taxes. Depending on where you live, you may or may not need to charge sales tax on your services. Here in Arizona, we don't have to charge our customers since there is currently no sales tax on the services that we provide. But the rules vary from state to state and country to country, so you need to consult an accountant or tax advisor in your area to find out if sales tax is something that you need to charge your customers. Now let's talk about business and personal taxes. A common issue with many small business owners and entrepreneurs is when they start bringing
in a decent amount of money, they neglect to set money aside for taxes. I recommend setting aside 25-50% of your revenue for taxes. The last thing you want to do is have a large tax bill at the end of the year and not have the money to pay it. Now this 20-50% I recommend setting aside is in addition to payroll taxes and unemployment. Also I recommend paying taxes quarterly even if not required so that a large tax bill doesn't have to be paid at the end of the year. You're going to have to be familiar with the rules and regulations in your particular area, so make sure to consult a professional before setting up your business and tax structure.
Taxes is a topic you want to take seriously because many business go out of business because of money management issues. In my opinion it's better to have way more money set aside for taxes than not enough. I've been through a couple of stressful years when my tax bill was higher than expected. You want to make sure to stay on top of your finances and save for taxes. I would suggest setting up a separate account and transferring a portion of all incoming revenue for taxes and know that the funds in that account are not yours to spend but for taxes only. Now I'm not giving tax advice here but just my two cents on the subject, make
sure to seek a tax professional's advice about what you should do because everyone's financial situation is different. Well that's going to do it for this video. Reach out if you have any questions. We'll see you guys on the next one.