this is for an online business. i know you dont charge sales tax to people outside your state...but is it for the Billing Address or the Shipping Address?????/???//
(If my business is based on out of MASS, and a person who lives in CALIFORNIA but goes to college in MASS buys an item, do they have to pay sales tax?
What about a person who lives in MASS but goes to college in CALIFORNIA?)
2007-07-31 04:54:15 · 2 answers · asked by mike 1 in Business & Finance ➔ Taxes ➔ United States
It is based on the shipping address if the person is buying it for themself. So, if it is shipped to a Mass address, then they pay tax regardless of where they actually live. Anybody that picks up the item pays tax as well.
If the person purchasing the item lives in Mass and they have it shipped to another address out of state (such as a gift situation), then they pay tax, but you will have to charge them the tax rate for their location and pay the taxes to their local/state coffers.
2007-07-31 04:56:22 · answer #1 · answered by sortaclarksville 5 · 1⤊ 0⤋
For the shipping address.
A few states require sales tax to be collected and sent to that state. You will have to check with each "state" to which you ship.
2007-07-31 04:58:37 · answer #2 · answered by ed 7 · 0⤊ 0⤋