Re: Out of state sales tax

How do I correctly collect out of state sales tax for online purchases?

TSberryb
Visitor
1 0 0

Looking for guidance as to how to properly collect taxes from out of state customers purchasing goods on my website. Do I need to register with every state to be compliant?

 

Thank you in advance! 

Replies 2 (2)

Nia
Shopify Staff (Retired)
537 38 83

Hi, @!

Taxes are definitely an important aspect of your business so we would want to ensure you're getting the correct advice. We recommend seeking the answer to any tax related questions from a local tax professional to avoid any incorrect information being placed on your website!

Nia | Social Care @ Shopify 
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KP_Enterprises
Explorer
69 2 18

While you should consult with a tax advisor there are some things that you can do yourself. Research remote Nexus and you should find a list of criteria for determining if you are required to collect and remit sales tax. Typically this is determined by sales volume in dollars and/or quantity of transactions. Most states are similar in the requirements but there are some variations.