Thrift stores have a lot of unique needs compared to typical retail establishments. Even if a thrift store is being operated by a nonprofit, tax-exempt organization, it’s still considered taxable business activity. However, there are tax exemptions that can apply, such as for thrift stores substantially being staffed by volunteers and primarily selling donated goods. Thrift stores are also subject to state sales tax laws. All of this makes proper accounting very important. ECFA provides a guide which outlines the proper accounting measures thrift stores should follow.