homepage Welcome to WebmasterWorld Guest from 184.73.104.82
register, free tools, login, search, pro membership, help, library, announcements, recent posts, open posts,
Pubcon Platinum Sponsor 2014
Home / Forums Index / WebmasterWorld / Ecommerce
Forum Library, Charter, Moderators: buckworks

Ecommerce Forum

    
Sales Tax Question
How exactly does the goverment collect sales tax?
successfirst

5+ Year Member



 
Msg#: 3667690 posted 4:21 pm on Jun 5, 2008 (gmt 0)

Hi,

I plan to sale my own brand in bulk to a retailer. I'm not 100% clear on how sales tax works. I have two questions...

1. Do I have to charge the retailer sales tax?

2. How do I pay the sales taxes collected to the government?

Thanks,
Brandon

 

jbinbpt

WebmasterWorld Senior Member 10+ Year Member



 
Msg#: 3667690 posted 4:27 pm on Jun 5, 2008 (gmt 0)

Where are you located? In the US if you are purchasing something for resale, then there is no sales tax on the transaction. The one who sells it to the end user is responsible for the collection of the tax.

successfirst

5+ Year Member



 
Msg#: 3667690 posted 4:32 pm on Jun 5, 2008 (gmt 0)

I am located in the US. Thanks, that is good to know.

bwnbwn

WebmasterWorld Senior Member bwnbwn us a WebmasterWorld Top Contributor of All Time 5+ Year Member



 
Msg#: 3667690 posted 6:05 pm on Jun 5, 2008 (gmt 0)

successfirst be sure and get his sales tax number this will be needed to keep you from having to pay taxes on the sale. He has to have one or you will be responsible for the sales tax.

Get a copy of his sales tax certificate for your files.

CernyM

10+ Year Member



 
Msg#: 3667690 posted 6:05 pm on Jun 5, 2008 (gmt 0)

It's more complicated than just that.

Most (all?) states have a website designed to help new businesses get started in their state. A topic on all of them will be sales taxes, when they must be collected, and the procedures to follow for items exempt from taxes.

You need to read up on that and perhaps call the local taxing authority.

For example, in my state, I'm required to keep records on all sales that I make, including those for which I am not required to collect sales taxes. For business to business sales that are exempt, I'm required to get specific paperwork from the buyer indicating that they are exempt and to keep that on file.

Periodically, I must submit a sales tax return with the state - even if I owe nothing.

Chicken Carbonara

5+ Year Member



 
Msg#: 3667690 posted 12:27 am on Jun 9, 2008 (gmt 0)

You will need to contact your department of revenue in your state capital - you need to get a resale number and in fact, it's illegal to sell without one. In fact in New Jersey, you cannot collect sales tax without it.

Global Options:
 top home search open messages active posts  
 

Home / Forums Index / WebmasterWorld / Ecommerce
rss feed

All trademarks and copyrights held by respective owners. Member comments are owned by the poster.
Home ¦ Free Tools ¦ Terms of Service ¦ Privacy Policy ¦ Report Problem ¦ About ¦ Library ¦ Newsletter
WebmasterWorld is a Developer Shed Community owned by Jim Boykin.
© Webmaster World 1996-2014 all rights reserved