I have an internet business located in TX. I ship to customers in and outside of TX. Am I supposed to charge taxes on the shipping costs? And if so, do I charge it to customers outside of TX, or just in-state customers?
2007-04-19 11:40:34 · 5 answers · asked by ladybug 4 in Business & Finance ➔ Taxes ➔ United States
You should review the package you got from the state when you got your sales tax number. There's a FAQ booklet with it that should explain it all.
Every state is different. Some require you to collect sales tax on shipping charges. Others require you to collect sales tax on the packaging charge but not the shipping charge as long as they're separately stated. And some don't tax either.
Generally you only collect sales tax for shipments destined to your own state. That would include the shipping charges if it's required to collect them.
2007-04-19 12:50:58 · answer #1 · answered by Bostonian In MO 7 · 0⤊ 0⤋
No, you are not supposed to charge tax on shipping. Check the link below and read section d. If you have any sales tax questions in TX, you can call one of the help lines (second link). The people in the Comptroller's office are usually really helpful.
2007-04-19 16:42:52 · answer #2 · answered by Lee 5 · 1⤊ 0⤋
We are in california and have a internet business as well. We do not charge a shipping tax, it's included in your reg. tax that you charge. We just charge for UPS,FED-EX or Standard mail. IT may be different in TX> but here in Cali. we don't.
2007-04-19 11:46:48 · answer #3 · answered by Anonymous · 0⤊ 0⤋
I run my own employer to boot. you'll favor to get including your interior reach tax workplace to be positive, yet the following (San Antonio Texas) tax is charged for facilities ... reckoning on the provider that it truly is. on condition that your provider is the product then you definitely will possibly charge tax for it. What i ought to do for now must be keep song of what you're sending out and both A. charge tax and take care of to pay it decrease back if it replaced into charged in blunders. B. do no longer charge the tax and take care of to owe it out of your pocket come next 365 days. I frequently run specials the position I pay the tax. this gives you my customers a spoil of fifty - one hundred funds and will strengthen my sales. see you later because the tax is paid the comptroller doesnt care who will pay it.
2016-12-04 08:09:30 · answer #4 · answered by bulgarella 4 · 0⤊ 0⤋
Taxes are applied to the purchase price of the product. I don't think you can tax shipping and handling, ethically. I also thought Texas didn't have a sales tax, but it's been a while since I have been there.
2007-04-19 11:51:47 · answer #5 · answered by quillologist 5 · 0⤊ 1⤋