Final answer:
Sales taxes payable by a company are reported as a current liability, as they are obligations due typically within the operational cycle of one year.
Step-by-step explanation:
When a company is obligated for sales taxes payable, it should be reported as a current liability on its balance sheet. This is because sales taxes collected from customers are not revenue for the company; rather, they are monies that are collected on behalf of and owed to the government. Since these taxes are typically due within a short time period after the collection (e.g., monthly, quarterly), they fall under current liabilities, which are obligations the company expects to pay within one year or within the normal operating cycle, whichever is longer.