|
||
Sales tax for internet sales-what you need to know
Taxes can be confusing, but the following is a brief overview of what you need to know about sales tax for internet sales.
Tax or no tax? This brings up another issue-do you have to charge taxes or no? That depends on the state you are operating your internet business from as well as the state that you are sending your products to. If your state is physically located, either with a business office or a warehouse, in one state, then you need to charge tax to the customers in the same state who order products from your business via the internet. But if you don't have a physical presence in the state the person is purchasing from, then you don't have to charge them tax. For example, let's say you have a business selling gift baskets online, and you have an office in Arizona that assembles them. You must charge sales tax to your customers who live in Arizona who order from you. However, if someone from New York orders a basket online, you don't have to charge sales tax. When it's up to the consumer. Should you charge sales tax? In the end, legally, you are only required to collect sales tax on Internet sales if your business has a physical presence (ie, office, warehouse, plant, etc.) in the state the customer is purchasing from. Because tax laws can be confusing for anyone, however, it's not a bad idea to consult a tax attorney on the matter to ensure your business is doing things by the book. Businesses that make their sales via the Internet have special laws regarding the collection of sales tax. The above are a few things you need to know about collecting tax from Internet sales.
,
|
||
Copyright 2003-2020 by BusinessKnowledgeSource.com - All Rights Reserved
Privacy Policy, Terms of Use |