Sales Tax Question - Do I still need to report/file anything regarding sales tax?
My understanding is that Amazon is considered to be the marketplace facilitator and currently Amazon is considered the marketplace facilitator all/every US states that charge sales tax and therefore will calculate, collect, remit and refund sales tax for third party sellers for transactions destined to the specific states (which is now all of them).
My question is is there any obligation for the me the third party seller to do anything regarding sales tax or filing or anything like that? Or is there zero obligation since Amazon is handling it all?
Also do you need to register and get a resale certificate or is that only if you want to buy wholesale products without having to pay sales tax?
Any help is really appreciated.
Link/info off Amazon.com below:
https://www.amazon.com/gp/help/customer/display.html?nodeId=202211260
A Marketplace Facilitator is defined as a marketplace that contracts with third party sellers to promote their sale of physical property, digital goods, and services through the marketplace. As a result, Amazon is deemed to be a marketplace facilitator for third-party sales facilitated through Amazon's global marketplaces.
Marketplace Facilitator legislation is a set of laws that shifts the sales tax collection and remittance obligations from a third party seller to the marketplace facilitator. As the marketplace facilitator, Amazon will now be responsible to calculate, collect, remit, and refund state sales tax on sales sold by third party sellers for transactions destined to states where Marketplace Facilitator and/or Marketplace collection legislation is enacted. In certain states, local taxes are not included within Marketplace Facilitator Legislation; Amazon is not responsible for those taxes.
Sales Tax Question - Do I still need to report/file anything regarding sales tax?
My understanding is that Amazon is considered to be the marketplace facilitator and currently Amazon is considered the marketplace facilitator all/every US states that charge sales tax and therefore will calculate, collect, remit and refund sales tax for third party sellers for transactions destined to the specific states (which is now all of them).
My question is is there any obligation for the me the third party seller to do anything regarding sales tax or filing or anything like that? Or is there zero obligation since Amazon is handling it all?
Also do you need to register and get a resale certificate or is that only if you want to buy wholesale products without having to pay sales tax?
Any help is really appreciated.
Link/info off Amazon.com below:
https://www.amazon.com/gp/help/customer/display.html?nodeId=202211260
A Marketplace Facilitator is defined as a marketplace that contracts with third party sellers to promote their sale of physical property, digital goods, and services through the marketplace. As a result, Amazon is deemed to be a marketplace facilitator for third-party sales facilitated through Amazon's global marketplaces.
Marketplace Facilitator legislation is a set of laws that shifts the sales tax collection and remittance obligations from a third party seller to the marketplace facilitator. As the marketplace facilitator, Amazon will now be responsible to calculate, collect, remit, and refund state sales tax on sales sold by third party sellers for transactions destined to states where Marketplace Facilitator and/or Marketplace collection legislation is enacted. In certain states, local taxes are not included within Marketplace Facilitator Legislation; Amazon is not responsible for those taxes.
0 replies
Seller_nRFmxiQg4EGrw
The answers will vary by state, and possibly with the size of your business and/or the type of items you sell.
Typically, if you are of any significant size, you need to have permits/licenses from your state. In most states, you need to file regular sales tax reports, even if you owe nothing, either because the tax has been paid already (as is the case with Amazon) or even if you have no sales.
Since there are so many variables, I would advise you to check with your state tax department; start from the assumption that you will in fact need to be licensed and need to file.
Micah_Amazon
Hello @Seller_bM6EN1ZoNuOJD,
Thank you for reaching out. While I am not able to advice on anything tax related, I can help point you to the following resources to help you understand.
After review, if your question is still unanswered, I recommend that you create a case to Seller Support with your question and they can engage the Tax department.
Cheers,
Micah
