Tax Guide for Home-Based Businesses
More than half of all U.S. businesses are home-based. We understand that there are many rewards as well as challenges in starting a home-based business. We realize that locating and reviewing all of the information needed to manage your business can be overwhelming. Therefore, we created this guide to provide you easily accessible information to assist you in understanding your sales and use tax obligations.
How to Use This Guide
This guide contains important information on managing your home-based business.
The Getting Started section provides key resources related to registration, return filing, account maintenance, and other important information you may need.
The Managing Your Sales section includes topics important to the success of your business such as good recordkeeping practices, determining your tax and fee rates, and allowable exemptions specifically related to your business.
The Industry Topics section covers many topics that are common in home-based businesses that may be helpful to you in running your business.
The Resources section provides links to a wealth of information, including forms and publications, current updates, and other helpful resources.
Please note that the information included is general in nature and is not intended to replace any law or regulation.
If You Need Help
If at any time you need assistance with topics included in this guide – or with topics not included – feel free to contact us by telephone or email. Contact information and hours of operation are available in the Resources section.
If you have suggestions for improving this guide, please contact us via email.
In California, all retail sales of tangible personal property are subject to sales or use tax unless the law provides a specific exemption or exclusion. Tangible personal property is an item (e.g., merchandise, goods, etc.) that can be seen, weighed, measured, felt or touched.
If you sell tangible merchandise and make three or more sales in a 12-month period, you generally are required to hold a seller's permit. This is true whether the merchandise was sold through a storefront or out of a home. When you operate a home-based business and sell merchandise from your home, you must register with the California Department of Tax and Fee Administration (CDTFA) for a seller's permit and file and pay sales tax on your taxable sales unless a specific exclusion applies. When there is no merchandise transferred in a transaction, there is no "sale" under California Sales and Use Tax Law. Therefore, if your business provides only services rather than selling tangible goods, sales and use taxes would not apply to your transactions (See Service Businesses on the Industry Topics tab).
The requirements under the sales and use tax law for running a home-based business are generally the same as running a storefront business.
Beginning October 1, 2019, pursuant to the Marketplace Facilitator Act, if you make sales through a marketplace that is owned or operated by a marketplace facilitator and all your sales of tangible merchandise will be facilitated by a marketplace facilitator that is registered as a seller or retailer with CDTFA, you are not required to be registered with CDTFA for a seller's permit or Certificate of Registration – Use Tax. However, if you make any sales of tangible merchandise other than those facilitated by a marketplace facilitator (for example, through your own website or at craft fairs) you may be required to register as a seller or retailer with CDTFA.
For more information, please see our Tax Guide for Marketplace Facilitator Act webpage.
Register with us online for your seller's permit. In addition to holding a seller's permit, you may also need to register for another license or permit with CDTFA. For more information about the permits or licenses CDTFA administers, please see our Online Services Registrations page.
Filing and Payment
Filing Dates for Sales & Use Tax Returns – Find your filing due dates.
File a Tax Return Online – File your return quickly and easily online.
Online Payment Options – Make online payments toward your current and past due tax liabilities.
Keeping Your Business Information Current
CDTFA-345-WEB, Notice of Business Change - To ensure we can provide you with the most helpful information about your account, please inform us of any changes made to your home-based business. You may also contact our Customer Service Center at 1-800-400-7115 (TTY:711), or the nearest local office to make changes to your account information.
As part of our commitment to helping you understand your sales and use tax obligations, we have established the Taxpayer Educational Consultation Program. This free program provides eligible businesses with education and assistance and helps them prepare for their sales and use tax reporting requirements.
For more information, please see our Taxpayer Events and Education webpage.
Get it in Writing
If you have specific sales and use tax questions regarding your home-based business, we recommend that you request answers from us in writing. This will enable us to give you the best advice and will protect you from owing tax, penalties, and interest in case you are given erroneous information.
For details, please see Form CDTFA-8, Get It In Writing.
If you hold a California seller's permit or any other California Department of Tax and Fee Administration (CDTFA) license or permit, you are required to maintain your business records to verify that you have properly paid the tax or fee.
You must keep your business records for at least four years. If you are being audited, retain all records that cover the audit period until the audit is complete, even if that period is longer than four years.
Your records should be adequate so CDTFA representatives may:
- Verify the accuracy of your tax returns; and
- Determine if you have correctly paid the tax due on your sales and purchases.
Records you should keep include, but are not limited to:
- Cash register tapes
- Purchase invoices
- Sales invoices
- Shipping documents
- Resale certificates
- Tax returns and supporting worksheets
As a home-based business selling goods in California, you have a duty; whether or not you collect tax reimbursement from your customers, to report and pay the correct amount of state sales and use tax, which applies to all retail sales of goods, except those sales that qualify for an exemption or exclusion (refer to the Exemptions section below).
The sales and use tax rate that you are required to report and pay will vary depending on where you do business (For online sales, please refer to the Industry Topics tab, under the heading Internet Sales). You are responsible for the statewide tax rate and any applicable district taxes in cities and counties where you are engaged in business.
Generally, you are engaged in business in a district when you:
- Own or lease real or tangible personal property, including, but not limited to, a computer server, in the district;
- Maintain, occupy, or use, directly or indirectly, or through a subsidiary or agent, a permanent or temporary office, place of distribution, sales or sample room, warehouse or storage place, or other physical place of business in the district (whether or not it is related to your sales activities);
- Have a representative, agent, or independent contractor operating in the district on your behalf or under your authority, or under the authority of your subsidiary, for purpose of making sales, taking orders, assembling or installing merchandise, training customers, making deliveries, or otherwise establishing or maintaining a market for your products;
- Use your own delivery vehicles to regularly deliver merchandise into or within the district;
- Receive rental payments from the leases of tangible personal property located in the district, such as leases of machinery, equipment, and furniture;
- Sell or lease vehicles or undocumented vessels which will be registered in the district; or
- Have total combined sales of tangible personal property in California, or for delivery in California, by you and all persons related to you exceeding $500,000 in the preceding or current calendar year.
Beginning April 25, 2019, if you are required to be registered with CDTFA, whether located inside or outside California, and you meet the $500,000 threshold, you are engaged in business in every district in California, whether or not you have a physical presence in those districts. As such, you are required to collect the district use tax on taxable sales made for delivery in those districts that impose a district tax. If you do not meet the $500,000 threshold, you are still engaged in business in any districts(s) in which you have a physical presence. For more information, see the online guide Use Tax Collection Requirements Based on Sales into California Due to the Wayfair Decision .
If you sell crafts from your home and ship your crafts by common carrier into a county where you are not engaged in business, you owe tax at the statewide rate (currently 7.25 percent).
If you sell goods at craft fairs, the applicable sales tax rate is the rate where the craft fair is located.
For more information on being engaged in business and the correct district tax rates, please see publication 44, District Taxes (Sales and Use Taxes).
Generally, you owe California use tax when you purchase physical merchandise (for example, supplies, furniture, fixtures, and equipment) for use, storage, or consumption in California without paying tax from a seller located outside the state.
In addition, use tax applies to the use, storage, or other consumption of goods, including vehicles, within the state. Therefore, you must report and pay the use tax due on any home-based business related purchases on your sales and use tax return in the period in which your business first used, stored, or consumed the goods in California.
For more information, please see California Use Tax Information.
As a registered seller's permit holder, you are entitled to purchase goods without payment of tax that you plan to resell (see Purchases for Resale below). However, if you remove goods from resale inventory and make use of the goods rather than reselling them, you owe use tax on the purchase price of the goods. For example, if you give away goods as a gift instead of reselling them, you must report and pay the use tax due on your sales and use tax return, on those goods withdrawn from resale inventory.
You sell home-made holiday ornaments from your home and at special events. You may generally purchase the items you use to make ornaments tax free, by giving your supplier a timely resale certificate. At the special event, as a promotion for your business, you give away small ornaments. You will be considered the consumer of any ornaments you give away and you will owe use tax on the purchase price of the material you used to make the ornaments.
If you purchase goods for your home-based business that you plan to resell, you can purchase the goods without paying tax to your vendors by providing them with a resale certificate. 1
When your vendor accepts a valid resale certificate in good faith and in a timely manner, the vendor does not owe tax on that sale. You can provide CDTFA-230, General Resale Certificate, to your vendor when purchasing goods you will resell in the regular course of your business operations.
Generally, resale certificates are used:
- When purchasing finished items for resale.
- When buying materials that will become a physical part of an item that will be held for resale. 2
- When purchasing items solely for demonstration or display while holding them for sale in the regular course of business operations.
As the purchaser, you should not use a resale certificate when buying a product that you will:
- Use rather than sell,
- Use in your business before you sell it,
- Use for a personal purpose, or
- Hold as an investment for appreciation in value and for sale in the future.
For more information on using a resale certificate, see publication 103, Sales for Resale.
1 Section 6015 retailers cannot accept resale certificates from their agents, unless the agent holds a California Sales or Use Tax Permit and sells the goods through a storefront. For more information on Section 6015 retailers, please see the Industry Topics tab, under the heading 6015 Retailers.
2 The purchaser must report use tax on their sales and use tax return on the purchase price of materials they purchased without tax, when the material is incorporated into an item that is later given away for free.
Depending upon your type of home-based business, some of your sales transactions may qualify for a full or partial sales tax exemption.
Exempt and excluded sales are transactions not subject to tax and a deduction for those transactions can be taken on your sales and use tax return. You must retain all documentation to support the deduction. Some common exempt sales transactions include:
- Food – see Tax Guide for Restaurant Owners and/or Tax Guide for Grocery Stores,
- Nontaxable Labor – see publication 108, Labor Charges,
- Sales for Resale – see publication 103, Sales for Resale, and
- Sales in Interstate or Foreign Commerce – see publication 101, Sales Delivered Outside California.
For a list of all exemptions, please see publication 61, Sales and Use Taxes: Tax Expenditures.
In addition to obtaining a California seller's permit from CDTFA, you may need other permits and licenses for your business.
We encourage you to visit the Governor's Office of Business and Economic Development webpage (GO-Biz) to help you determine if other state, federal, and local agencies have any licensing or registration requirements that may affect you.
GO-Biz offers extensive information, including:
- CalGold – Provides information about other federal, state, or local government permits that may be required for your business.
- California Business Portal – Provides personalized business assistance, including quick start guides for starting and growing your business, and the California Business Navigator which provides custom information for your business regarding permits, licenses, and incentives.
CDTFA also partnered with the Employment Development Department, the Franchise Tax Board and Internal Revenue Service to establish the California Tax Service Center. The website acts as a one-stop source for the latest tax information.
Internet sales, including sales made through Internet auction houses, online shopping platforms, or your own website, are treated the same as sales made at retail stores or through other outlets, such as through sales representatives, over the telephone, or by mail order.
There is no general tax exemption for sales of tangible personal property (merchandise) made over the Internet. Therefore, your retail Internet sales that take place in California, or are for delivery in California, are generally subject to sales or use tax, unless a specific exemption or exclusion applies.
You are responsible for collecting and paying the tax on your Internet sales, which includes sales you make through Internet shopping platforms or Internet auction houses. The responsibility exists unless the shopping platform or Internet auction house is owned or operated by a marketplace facilitator, as defined in the Marketplace Facilitator Act, which is responsible for paying and collecting the tax on your Internet sales. For more information on who is responsible for the tax on sales facilitated through a marketplace, please see our online guide, Tax Guide for Marketplace Facilitator Act.
Beginning October 1, 2019, marketplace facilitators (as defined by Revenue and Taxation Code, section 6041(b)) that own or operate Internet auction houses and other Internet shopping platforms may be required to pay and report the tax to CDTFA and report and pay tax on sales of merchandise facilitated through their marketplace (e.g., Internet website). You should contact your Internet auction house where you sell merchandise to determine if they are a marketplace facilitator and are responsible for the tax on sales made through their auction house.
If all your sales of merchandise will be facilitated by a marketplace facilitator that is registered as a seller or retailer with CDTFA, beginning October 1, 2019, you are not required to obtain a seller's permit or a Certificate of Registration - Use Tax from CDTFA.
For more information, please see Publication 177, Internet Auction Sales and Purchases, Publication 109, Internet Sales, and our online guide, Tax Guide for Marketplace Facilitator Act.
If you do not have a storefront and only sell products you buy from what is referred to as a Revenue and Taxation Code (RTC) section 6015 retailer (section 6015 retailer), then you do not need a seller's permit.
Typically, section 6015 retailers include multi-level marketing retailers that solicit sales through a network of individual salespeople or representatives. Individuals who sell these products have "shows" or "parties" and sell merchandise at their own home, a customer's home, on the Internet, or through direct sales to friends and family.
If you are an agent of a section 6015 retailer, that company will remit sales tax to CDTFA on your behalf. The section 6015 retailer is regarded as the retailer and collects the sales tax on the suggested retail sales price when they sell the items to you.
Section 6015 retailers cannot accept resale certificates from you unless you hold a California Sales or Use Tax permit and sell the products through a storefront. A storefront does not include home-based businesses.
For more information, please see RTC section 6015.
When you have a garage sale and sell used personal goods, you are generally not required to hold a seller's permit.
Each garage sale is considered a single sale, even though multiple items may be sold. When a person holds less than three (i.e. one or two) garage sales, of used goods that were accumulated for their own use, within a 12-month period, they are usually considered to be an occasional seller and not a retailer. However, if a person holds a third garage sale within a 12-month period, they are considered to be a retailer and are required to hold a seller's permit.
If you are in the business of providing a service, your charge for the service is generally not taxable.
If, in addition to the services you provide, you regularly make sales of items to consumers, you will generally be considered the retailer of the items you sell and you are required to hold a seller's permit. Unless otherwise exempt, your sales of those items are subject to tax. In addition, any services that you provide that are part of the sale of the item sold will generally be taxable as well.
Below are some common service industry home-based businesses that may also make sales of goods:
Interior Designers or Decorators
An interior designer or decorator generally provides services such as design, repair, color coordination, and planning. In addition to the services mentioned, an interior designer or decorator may also sell goods, such as furniture, window coverings, carpeting, home accessories, cabinets, and samples. Therefore, if you are an interior designer or decorator and you sell any goods to your clients, your sales of goods are taxable and you are required to hold a seller's permit.
In general, your fees charged for consultation, layout, coordination of furniture and fabrics, selection of color schemes, etc., are considered charges for professional services. The charges are not subject to tax when they are not directly related to your sale of goods. However, tax does apply to your charges that are directly related to acquiring and providing furnishings and other goods you sell to a client. Your fees for nontaxable charges should be separately stated from charges related to sales of goods.
When you charge fees to accompany a client to a showroom to select furniture the client is buying from you, those fees are taxable, because it a part of your taxable sale of furniture to your clients.
For more information on the application of tax to charges from interior designers, please see publication 35, Interior Designers and Decorators.
As a photographer who makes sales of printed photos or related goods, you are required to hold a seller's permit. You are generally making a sale of goods when you transfer photos to your customer in a tangible form. Tangible forms include prints as well as electronic files contained on tangible media (e.g.CD, flash drive or DVD). The sales of printed photos and related goods are treated the same as other goods and are generally taxable unless a specific exemption or exclusion applies.
Photography services are generally subject to tax if they are part of the sale of tangible property (e.g. photos). However, your fee charged for photography services, including taking photographs and editing, are not taxable when:
- There is no transfer of photos or related goods in tangible form, and
- There is no intent of later providing printed photos or goods to your customer.
However, when you perform photography services that result in a sale of photos or related goods in tangible form, your entire charge is taxable regardless of whether you separate the charges for the services or labor performed in creating the printed photos or related goods.
You enter into a contract with a client to provide them with photography services and a link to their digital images. When you electronically transfer copies of the images, tax does not apply to the charges for the service or for the digital images. The sale of the electronic data is not a taxable transaction.
However, if you provide printed photos with your photography services, tax applies to the entire charge. The printed photos are tangible personal property and the sale of the printed photos is subject to tax. When the printed photos are transferred to your client, tax would apply to the gross receipts. The gross receipts would include all charges that are related to the production and creation of the printed photos, including your photography services.
For more information on the application of tax to charges from photographers, please see publication 68, Photographers, Photo Finishers, and Film Processing Laboratories, or our Tax Guide for Photography.
Generally, the sales of hot food are taxable, while the sales of cold food to-go are not taxable.
However, tax does apply to sales of hot and cold food products that are sold:
- To be consumed on the business premises, or
- In a form to be consumed at tables, chairs, or counters or from trays, glasses, dishes, or other tableware (provided by the retailer or by a person with whom the retailer contracts to furnish, prepare, or serve food products to others), or
- At an event where admission is charged.
Unlike a restaurant, home-based businesses do not generally sell prepared food to be consumed at the place of business. However, if you prepare and sell food products from your home, and you meet one of the conditions mentioned above, your sales of food products are taxable.
Below are some common retailers of food (some who generally do not operate from a physical location) and the application of tax to their business.
A caterer is in the business of serving meals, food or drinks on the premises of the customer, or on the premises supplied by the customer.
Tax generally applies to charges made by caterers for:
- Prepared hot/cold food and drinks even though the ingredients may not be provided by the caterer;
- Prepared hot/cold food whether or not served by the caterers; and
- Any other services related to the preparation and serving of food for clients (e.g. cutting and serving a cake provide by the customer).
For more information on caterers, please see Tax Guide for Caterers.
Mobile Food Vendor
A mobile food vendor does not have a physical location and generally sells food or drinks from a truck, stand, or wheeled cart. If you are a mobile food vendor (e.g. a hotdog cart), you must report tax on your sales of hot, prepared food and carbonated beverages, such as sodas. In addition, your sales of cold food are taxable when:
- Sold for consumption at tables that you provide, or
- Sold at a place that charges admission such as swap meets, trade shows, etc.
The sales of baked goods such as bread, cookies, cakes, including wedding cakes, are generally not taxable, when sold on a "to go" basis, or sold for resale (e.g. to a caterer). However, if the cakes are sold for consumption at the home-based business location, the sales are subject to tax.
For example, if you charge your customer a cake tasting fee, tax would apply to your charges as the cake is considered to be consumed at your home-based business location.
In general, sellers at swap meets, flea markets and special events that make retail sales are required to obtain a seller's permit.
As a seller at swap meets, flea markets and special events, you are required to provide specific information to the operator of the event in order to sell there. You can use form CDTFA-410-D, Swap Meets, Flea Markets, or Special Events Certification, to provide the required information. Your sales are generally subject to sales tax unless they qualify for a specific exemption or exclusion.
If you will be selling items at a location for less than 90 days, you are considered a temporary seller, and are required to hold a temporary seller's permit. You will need to register each temporary sales location. However, if you participate in three or more swap meets, flea markets, and special events in a 12-month period, you must obtain an ongoing seller's permit. If you already hold a seller's permit for a permanent place of business (your home-based business location) but also make sales at a temporary location, you will not need to register for a separate temporary seller's permit. Instead, you must register for a sub-permit for each of your temporary locations. You can register a temporary location online, under Register a Business activity with CDTFA, click Add a new location to an existing account link and follow the prompts.
You sell your handmade soaps at two craft fairs annually. You make no other sales at any other time in a 12-month period. You will be required to obtain a temporary seller's permit for each fair and register each location.
You sell your handmade soaps at two craft fairs annually. In addition, you also sell your handmade soaps online. Since you make more than two sales in a 12-month period and are engaged in the business of making handmade soaps, you will need to obtain an ongoing seller's permit.
Sales Made on State-Designated Fairgrounds
Effective July 1, 2018, if you are a retailer who makes sales of tangible personal property that take place on the real property of a California state-designated fair ("state-designated fairground"), you must separately state the amount of those sales on your Sales and Use Tax return. Sales that take place on state-designated fairgrounds include over-the-counter sales on the fairgrounds and also may include sales in which the property is shipped or delivered to or from the fairground.
The separately reported amount will be used for funding allocation purposes only. There is no additional tax or fee due on these sales. For more information on the new reporting requirement, please see Tax Guide for Reporting Requirements on State-Designated Fairgrounds.
(As of December 31, 2021, this program is no longer in effect.)
The itinerant veteran vendor program was authorized by legislation and was in effect from April 1, 2010, through December 31, 2021. Qualified itinerant veteran vendors were generally the consumers of items they owned and sold, and were not required to hold a seller's permit. As an itinerant veteran vendor, you were required to pay tax on your purchases of all taxable items that you intended to sell.
Under Revenue & Taxation Code section 6018.3, you were considered a qualified itinerant veteran vendor if all of the following applied:
- You were honorably discharged from the United States Armed Forces,
- You were a sole proprietor with no employees,
- You had no permanent place of business in this state, and
- You were unable to obtain a livelihood by manual labor due to a service-related disability.
However, if you sold alcoholic beverages or taxable items for more than $100, you were considered a retailer of those items and were required to obtain a seller's permit and report tax on those sales.
Examples of qualified itinerant veteran vendor businesses included:
- Swap meets or flea market vendors,
- Lunch wagon operators, or
- Coffee cart operators.
Starting January 1, 2022, itinerant veteran vendors who previously qualified for the above exemption are required to obtain a seller's permit, file sales and use tax returns, and remit tax on their retail sales in California.
If you are not sure whether you need a seller's permit or whether your sales are taxable, you may contact our Customer Service Center for help at 1-800-400-7115 (CRS:711). Customer service representatives are available Monday through Friday from 7:30 a.m. to 5:00 p.m. (Pacific time), except on state holidays
“Local Taxes” are sales and use taxes imposed by local jurisdictions, usually cities or counties, under the Bradley-Burns Uniform Local Sales and Use Tax Law. The current statewide sales and use tax rate is 7.25 percent, which includes 1.25 percent of local taxes (1.00 percent Local Jurisdiction and .25 percent Local Transportation Fund). When you file your sales and use tax return you are generally required to allocate your sales among local jurisdictions, either directly or through a countywide pool. The 1.00 percent portion goes to the city or county where the sale or use occurs. The .25 percent portion always goes to the county where the sale or use occurs. By properly allocating your sales you ensure that the local jurisdiction receives proper funding of local tax. These funds are used by local jurisdictions for their city or county operations, including for transportation.
For more information about allocating local tax, please visit our Local and District Tax Guide for Retailers.
Note: If you are an online retailer, you are required to collect, report, and pay tax like other retailers, but how you allocate your internet transactions can depend on several factors. For more specific information on local tax reporting requirements for online retailers, see the Online Retailers: Registration and Local Tax tab of our Local and District Tax Guide for Retailers.
The total sales and use tax rate is not the same throughout California. Total sales and use tax rates may be higher than the 7.25 percent statewide rate in areas where there are voter-approved district taxes. Retailers with a place of business in a district are generally required to pay the district’s transactions (sales) tax on sales made at that location or for delivery from that location within the district. Retailers are also required to collect and remit to CDTFA the district use tax on their sales for delivery into any district in which the retailer is engaged in business.
For more information, please see Publication 44, District Taxes (Sales and Use Taxes) and our online guide, Local and District Tax Guide for Retailers.
Need to know more? Follow the links below for more information about the topics covered in this guide, as well as other information you might find helpful.
- Publication 61, Sales and Use Taxes: Tax Expenditures
- Publication 73, Your California Seller's Permit
- Publication 105, District Taxes and Sales Delivered in California
- Publication 107, Do You Need a California Seller's Permit?
- Publication 110, California Use Tax Basics
- Publication 177, Internet Auction Sales and Purchases
Other Helpful Resources
- CDTFA Online Services – Learn about the online services CDTFA offers, including online registration for seller's permits and other accounts.
- CDTFA Offices – A comprehensive listing of all CDTFA offices and contact information.
- City and County Tax Rates – A listing of current and historical tax rates.
- Contact Us – A listing of CDTFA contacts for your questions and concerns.
- Find Your Tax Rate – You can look up the current sales and use tax rate for a specific address.
- Get It in Writing! – The Sales and Use Tax Law can be complex, and you are encouraged to put your tax questions in writing.
- News Releases – CDTFA News Releases cover a broad range of topics, from agency appointments to improvements and enhancements to CDTFA customer service.
- Special Notices – Special Notices offer taxpayers guidance regarding law and policy changes, significant news and program updates, and other important information.
- Sign Up for CDTFA Updates – Sign up to receive monthly bulletin detailing important information, including Special Notices, Tax Information Bulletins, and updates to the CDTFA's Annual Report.
- Taxpayers' Rights Advocate (TRA) – The TRA Office helps taxpayers when they are unable to resolve a matter through normal channels (e.g., by speaking to a supervisor), when they want information regarding procedures related to a particular set of circumstances, or when there are apparent rights violations.
- Verify a Permit or License – You can use this to verify a seller's permit, cigarette and tobacco products retailer's license, eWaste account, or underground storage tank maintenance fee account.
- Videos and How-To Guides – These resources will help you avoid common mistakes, file your tax returns online, and more.
- Local and District Tax Guide for Retailers – A tax guide for retailers to learn more about how to properly collect, report, and pay local and district taxes.