Sales taxes payable: Is an estimated liability.

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Sales taxes payable: Is an estimated liability

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Sales taxes payable:

1. Is an estimated liability.
2. Is a contingent liability
3. Is a current liability for retailers
4. Is a business expense
5. Is a long-term liability

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Answer:

C .

Step-by-Step explanation

A sale tax is a tax which is collected by the retailers from the users of the goods and then it is passed to the government. After the collection of the sales tax, it is classified as the current liability in the balance sheet of the entity as it is payable to the government.