Answered step by step
Verified Expert Solution
Question
1 Approved Answer
G's Kitchen, Inc. (GK, Inc.) has been crafting fine chocolates for over sixty years. GK, Inc. is a well-established local brand, but business really
G's Kitchen, Inc. ("GK, Inc.") has been crafting fine chocolates for over sixty years. GK, Inc. is a well-established local brand, but business really took off when GK, Inc. hired a social media firm to develop a greater online presence. Sales have expanded from a retail storefront in a small Michigan resort town to being sold online and shipped throughout the contiguous United States. GK, Inc. has no physical presence in any state except for Michigan. GK, Inc. recently received a notice from Indiana assessing substantial penalties and interest for failure to register for and collect Indiana sales tax. GK, Inc. was not aware Indiana generally imposes sales tax on candy as Michigan does not impose a sales tax on candy and GK, Inc. has never had to collect sales tax from its customers in Michigan. Having seen some news reports on the U.S. Supreme Court decision in Wayfair (South Dakota v. Wayfair, Inc., 138 S. Ct. 2080 (2018)) and being concerned for sales tax collection exposure in other jurisdictions besides Indiana, GK, Inc. has engaged you to complete a nexus analysis based on general economic nexus thresholds, and as a result, you created the following Tableau visualization. G's Kitchen, LLC Sales by State Canada - Mexico States (All) Alabama Arizona Arkansas California Colorado Connecticut Delaware Florida Georgia Idaho Illinois Indiana lowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana 11-1 Practice Exercises i 27 1.5 points eBook Print o References 2022 Mapbox OpenStreetMap Transactions 0 C Sales $0 G #+ableau Req a Req bi Colombia Req c Complete this question by entering your answers in the tabs below. Req d 12,325 $2,339,982 L NOW THER North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee 15 Required: a. In what jurisdiction (s) does GK, Inc. have more than $100,000 in sales? b. In what jurisdiction(s) does GK, Inc. have more than 200 transactions? c. Based on general economic nexus thresholds, in what jurisdiction (s) should GK, Inc. register to collect and remit sales tax? d. The sales tax rate in Indiana is 7%. How much tax should have been collected from sales made to Indiana customers? K 7 0 Saved The sales tax rate in Indiana is 7%. How much tax should have been collected from sales made to Indiana customers? (Round your answer to the nearest dollar.) Tax rate
Step by Step Solution
★★★★★
3.51 Rating (161 Votes )
There are 3 Steps involved in it
Step: 1
a GK Inc has more than 100000 in sales in the following jurisdictions India...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started