3 {{ upvoteCount | shortNum }}
3 {{ upvoteCount | shortNum }}

The New Internet sales Tax Dilemma

by cjshu99
2 replies
  • ECOMMERCE
    • |
As someone who was slowly getting into physical sales, this has me doing a double take.

I've lost some of my companies I was an affiliate with ( Amazon, etc. ) because of Nexus and now this.

Is it worth the trouble for someone just starting out? Does this hurt drop shippers because of tax confusion?

Just wondering out loud.
#dilemma #internet #sales #tax
  • Profile picture of the author TrafficFlow
    What are you talking about with respect to an Internet sales tax.

    In the US I believe sales tax must only be collected if you or your company has a physical presence within the State.
    Signature
    I will embed your video on your website with clickable link
    {{ DiscussionBoard.errors[10841924].message }}
  • Profile picture of the author dave_hermansen
    For the most part, TrafficFlow is correct. Generally speaking, you only have to remit sales tax if the customer is in your own state. There are exceptions, the most common being that your supplier is in one of the few states that have a much more narrow definition of a nexus, like California. According to California tax law, if you are shipping from a California warehouse OR a business that has offices of any kind in California, you have a nexus in California and must also remit sales tax if a California resident orders from you - even if you are located in Ohio. There are other things that can constitute a nexus, such as if you have employees in another state, a traveling salesman who goes to other states or even if you attend a convention in another state where you are marketing your products.
    Signature
    BizSellers.com - The #1 place to buy & sell websites!
    We help sellers get the MAXIMUM amount for their websites and all buyers know that these sites are 100% vetted.
    {{ DiscussionBoard.errors[10841934].message }}

Trending Topics