The City of Roanoke will co-sponsor the event "Taxes in Business Workshop: Learn the What, When and Why." The workshop was targeted to business owners to help participants understand local and state tax responsibilities. Presenters outlined various business tax requirements and their purpose, the impact of delinquent taxes on a business, and basic business principals to help manage a business more efficiently. Participants also had a chance to meet one-on-one with tax and business advisers. Sandy Ratliff with the Virginia Department of Business Assistance outlined the resources available to small business owners within Virginia.

1. Roanoke Taxes in Business Workshop: Learn the What, When & Why August 4, 2010

2. Business Resources in Virginia Sandy Ratliff, Business Services Manager Virginia Department of Business Assistance 276-676-3768 sandy.ratliff@vdba.virginia.gov www.vdba.virginia.gov www.vastartup.org

4. Small Businesses create over 60-80% of all new jobs.

5. Small Businesses account for half of the Commonwealth of Virginia’s contribution to the U.S. Gross Domestic Product - a whopping $160 billion. Virginia is for Business Lovers

6. Virginia is for Business Lovers Virginia ranked #1 state for business by Forbes.com last four years. Ranked #1 most business friendly state by Pollina Corporate Real Estate, Inc. last two years. Named #1 best states for business by CNBC. Virginia among top 10 list of states friendly to small business.

7. The Virginia Department of Business Assistance VDBA supports economic development in the Commonwealth by working with new and existing businesses to provide business and economic development communities with: workforce incentives financing business information and counseling state procurement assistance educational opportunities www.vdba.virginia.gov

9. Bridges the 26 state agencies, over 110 regulatory programs and over 300 forms that may touch a Virginia business

10. Virginia Central Business Portal (www.business.virginia.gov)

11. Covers registration, taxation, licensing

12. Interactive business plan available online at www.vdba.virginia.gov or www.vastartup.org

14. $5 billion market - State

15. Access to buyers from 171 state agencies

16. Additional $5 billion from local governments

17. 575 localities using eVA system.

18. Small Business Goal – 40%

19. Over 41,490 registered suppliers

20. Over 13,065 participating buyersAsk VBIC = 866-248-8814

21. Examples of Purchasing: Instant Ice Tea 01/01/2009 – 12/31/2009 = $23,455.71 - 46 PO’s Novelty – Specialty Advertising Products 01/01/2009 – 12/31/2009 = $152,905.34 - 152 PO’s Grounds Maintenance: Mowing, Edging, Plant (Not Tree) Trimming, etc. 01/01/2009 – 12/31/2009 = $14,566,567.94 - 1150 PO’s Tires and Tubes, Passenger Vehicles 01/01/2009 – 12/31/2009 = $72,103.64 - 7 PO’s Concessions, Catering, Vending: Mobile and Stationary 01/01/2009 – 12/31/2009 = $6,187,712.31- 11,757 PO’s Building Maintenance 01/01/2009 – 12/31/2009 = $90,611,650.85 - 9285 PO’s Earth Moving Equipment Rental 01/01/2009 – 12/31/2009 = $8,573,333.24 -621 PO’s Cleaning Services, Steam & Pressure 01/01/2009 – 12/31/2009 = $3,358,694.55- 303 PO’s

22. One–on-One Counseling Sessions Need Based: Accessing New Markets/Sales Growth Tailored Sales Development Solutions Financing Resources Social Media for Your Business To schedule an appointment, contact: Sandy Ratliff, Business Services Manager 276-676-3768 Email: sandy.ratliff@vdba.virginia.gov Upcoming Sessions: August 31 – Vinton Chamber of Commerce September 30 – Roanoke County Administration December 1 – Roanoke County Administration

24. Social Media Workshops – Why and how to connect for business.

25. Upcoming Events =

26. August 5 – Vinton Chamber

27. August 12 – Clifton Forge

28. October 8 - Roanoke

29. Adventure Tourism Workshops – October 19, Daleville, VA

31. Create minimum 25 net new jobs within 12 months and capital investment of at least $1,000,000

32. Minimum entry-level wage of $10.00/hr required. Only full-time jobs are eligible.

33. Small business workforce recruiting and training

34. 250 employees or less, hiring at least 5 new full time employees within 12 months of operation and capital investment of at least $100,000

35. Minimum entry-level wage of $10.00/hr required. Only full-time jobs are eligible.

36. Retraining

37. Small businesses that are retooling and installing new technologies

40. Not a grant- analyze cash flow and collateral VSBFA can help you grow by extending you credit Scott Parson- VSBFA Director, 804-371-8256

41. “If you always do what you’ve always done, You will always get what you’ve always got!”

42. Lets Connect: Sandy Ratliff The Virginia Department of Business Assistance 276-676-3768 sandy.ratliff@vdba.virginia.gov Online: Twitter: http://twitter.com/sandyratliffFacebook: http://www.facebook.com/sandy.ratliff LinkedIn - http://www.linkedin.com/in/sandyratliff

43. ??QUESTIONS??

44. TREASURER’S OFFICE CITY OF ROANOKE, VIRGINIA www.treasurer@roanokeva.gov

45. Mailing and Collection Schedule Estimated State Income Tax Due Dates are: May 1 June 15 September 15 January 15

46. Mailing and Collection Schedule Business License Statements are mailed in December and are due March 1 Business License Statements-Delinquent are mailed in April

47. Mailing and Collection Schedule Real Estate First Installment Statements are mailed in August and are due in October Real Estate First Installment-Delinquent Statements are mailed in November Real Estate Second Installment Statements are mailed in February and are due in April Real Estate First/Second Installment-Delinquent Statements are mailed in May

48. Mailing and Collection Schedule Personal Property Statements which includes Business Personal Property Statements are mailed in mid-April and are due June 1 Personal Property Statements-Delinquent which includes Business Personal Property Statements-Delinquent are mailed in July

49. QUESTIONS

50. City of RoanokeBillings & Collections Local Tax Information August 4, 2010

51. What are Local Taxes and What are the Tax Rates? Prepared Food & Beverage “Meals Tax” - 7% Transient Occupancy Tax - 7% Admissions Tax - 5.5% or 9% For Guidelines and Additional Information http://www.roanokeva.gov/localtax http://www.roanokeva.gov/mealstax

52. How are these taxes collected? When customers purchase a food or beverage item, purchase a ticket or purchase a hotel room, a tax is added to that price. Customers pay the tax, not the business. The Local Taxes are paid just like State Sales Tax. The monthly tax collected by a business is paid by the 20th of the following month: for example, tax collected for the entire month of July 2010 will be due by August 20, 2010.

53. Why are these taxes called “Trust Taxes” ? These taxes are paid by the customer and then collected by the business providing the service or selling the item or product. The tax is then held “in trust” on behalf of the locality until it is remitted and paid on the due date. Because these taxes are a “trust” tax, penalties can be severe for non-payment.

54. What are the penalties for non-Payment? Each tax has it’s own penalty and/or interest rate depending upon the type of tax. Generally, there is a 10% late payment penalty and for some taxes, interest at a rate of 10% applies. Additional Fees as prescribed by the Code of Virginia may also be imposed for late payment and collection action. Failure to report and pay the tax also constitues a Class 1 Misdemeanor which carries a fine of $2,500 or 12 months in jail or both. In severe cases, failure to remit a trust tax may result in a charge of embezzlement. Business owners may be personally charged and liable for the tax even if the business is a corporation or partnership.

55. What can I do to prevent these penalties? First, Always pay on time. Do not use the taxes collected for payment of other bills or expenses of the business. Establish a separate bank account and deposit the taxes collected into this separate account.

56. What happens if I have problems? Call us and we will work with you It’s always better to file the return form than to not report or pay by the deadline Based on circumstances, a short payment plan may be an option It’s always a good idea to make a partial payment than “no” payment Keep in communication with us concerning your account

57. Does anyone ever check to determine if I am reporting correctly? Yes, We perform random audits of businesses’ records Yes, Field Visits are ongoing throughout the year. Yes, we receive anonymous calls and tips when customers feel they are not charged correctly. These are investigated. Yes, We cooperate with other agencies such as the Department of Taxation, ABC Agents, and the Commissioner of the Revenue’s Office.

58. What Kinds of Records Should I Keep if my business is Audited? The law requires maintaining records to support the tax amounts collected and paid for at least 3 years. Examples of records to keep: Cash Register Tapes and Guest Checks Daily Balancing Reports Records of Voids, over-rings, tips Invoices of food and beverage purchases Bank Account Records and Credit Card Charge receipt records Documentation to support any deductions Daily lists of customers such as records of room rentals at a hotel Tax returns and bank account information for the business Lists of ticket prices, volume of ticket sales, coupons, discounts

59. Who Do I Contact With Questions? Billings & Collections Local Tax Administration, Delinquent Collections, Tax Sale, Parking Tickets, Set-Off Debt Collection, Accounts Receivables: (540) 853-2880 Mailing Address: Noel C. Taylor Municipal Building 215 Church Ave., SW, Room 252 Roanoke, VA 24011 E-Mail: billings@roanokeva.gov www.roanokeva.gov/billings

60. Additional Contact Information Deena Fisher, Sr. Tax Compliance Administrator 853-6826 Joshua Mabrey, Tax Compliance Supervisor 853-6827 Dana Long, Manager, Billings & Collections 853-6836

61. VIRGINIA DEPARTMENT OF TAXATION www.tax.virginia.gov

62. VIRGINIA BUSINESS TAXES INCOME TAXES Corporation Income Tax Employer Income Tax Withholding Individual Income Tax Pass-Through Entities

63. SALES AND USE TAXES Aircraft Sales and Use Tax Communications Sales and Use Tax Consumer’s Use Tax Digital Media Fee Retail Sales Tax Use Tax Vending Machine Sales Tax Watercraft Sales and Use Tax

64. MISCELLANEOUS TAXES Bank Franchise Tax Cigarette Tax Tobacco Products Tax Apple Excise Tax Corn Assessment Cotton Assessment Egg Excise Tax Forest Products Tax Litter Tax

65. MISCELLANEOUS TAXES ( Continued ) Peanut Excise Tax Sheep Assessment Small Grains Assessment Soft Drink Excise Tax Soybean Assessment Tire Recycling Fee

66. MAJOR TAXES AND FEES ADMINISTERED BY OTHER STATE AGENCIES Alcoholic Beverage Control Tax and Licenses Corporation Charter, Corporation Registration, License Tax on Insurance Companies, and Tax on Public Service Corporations Electric Utility Consumption Tax and Natural Gas Consumption Tax

67. MAJOR TAXES AND FEES ADMINISTERED BY OTHER STATE AGENCIES ( Continued ) Motor and Special Fuel Tax, Licensing and Titling of Motor Vehicles Sales Tax Virginia Unemployment Tax Workers’ Compensation

68. CONTACT INFORMATION QUICK REFERENCE PHONE DIRECTORY QUESTIONS