Utah, often referred to as the Beehive State, is a confluence of pioneering spirit and contemporary commerce. Grasping the specific rules and nuances of sales tax in Utah is crucial for maneuvering its complex business terrain.
This guide breaks down everything you need to know about Utah’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Utah’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Utah.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require collecting and paying sales tax. The factors that determine a physical nexus in Utah include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning July 1, 2025, the threshold for economic nexus in Utah is $100,000 in gross revenue in the previous or current calendar year’s sales.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for sales tax nexus requirements in Utah.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Utah.
Almost all goods are taxable in Utah, including:
The goods that are exempt from sales tax are:
In Utah, the majority of service-based transactions, such as professional services, advertising, and beauty services, are not subject to sales tax.
However, there are specific situations where certain services are taxable. For instance:
For a full list, check the Utah Department of Revenue.
SaaS is taxable in the state of Utah.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also taxable.
Shipping and handling charges in the state of Utah are taxable. If the shipping and handling charge is separately stated on the invoice to the customer, the delivery charge is not subject to sales or use tax.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Utah, the next important step is getting your Utah Seller’s Permit, also known as a sales tax permit.
You can register for a Sales and Use Tax License online through the Taxpayer Access Point or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Utah, you don’t have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Utah, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the TC-21 Exemption Certificate provided by the Utah State Tax Commission after you receive your sales tax permit. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Utah Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Utah has been a party to this program since October 1, 2012, meaning it follows the uniform rules and definitions established by SST.
Check with the Utah State Tax Commission for the most current information on Utah’s participation in the Streamlined Sales Tax initiative.
In Utah, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Utah Sales Tax Calculator to compute sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Texas and sells to a customer in Salt Lake City, UT, with a ZIP code of 84105. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Utah is an origin-based state, meaning sales tax is determined based on the buyer’s location. That means for a Utah-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Texas to a customer in Salt Lake City, Utah, where you have nexus, you’d apply Salt Lake City’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Utah sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Utah’s sales tax regulations.
In Utah, the due date falls on the last day of the following month for monthly and quarterly filers. For instance, sales tax collected in January is due by February 28th (or 29th if it’s a leap year) for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 31st deadline falls on a holiday or weekend, you’ll have until June 1st, the following business day, to submit.
If you’re an annual filer, the due date for remittance falls on January 31 following the reported tax year.
To file your sales tax return for Utah, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly. Utah’s timely filing discount is 1.31% of the sales tax due.
Currently, for 2025, there are no planned sales tax holidays in Utah.
Like in most states, sales tax is a big part of how Utah generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Utah:
Are you setting your entrepreneurial sights on the maritime gateway of the East Coast? To flourish in Maryland, a state known for its pivotal role in American history and its robust economy, it’s crucial to master the state of Maryland’s sales tax intricacies.
This guide breaks down everything you need to know about Maryland’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Maryland’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Maryland.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Maryland include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2018, the threshold for economic nexus in Maryland is $100,000 in gross revenue or 200 transactions in the previous or current calendar year’s sales.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for sales tax nexus requirements in Maryland.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Maryland.
Almost all goods are taxable in Maryland, including:
The goods that are exempt from sales tax are:
In Maryland, the majority of service-based transactions, such as professional services and advertising, are not subject to sales tax.
However, there are specific situations where certain services are taxable. For instance:
SaaS is taxable in the state of Maryland.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also taxable.
Shipping charges in the state of Maryland are not taxable on their own, but handling charges are. When shipping and handling charges are combined on a bill, the entire amount becomes taxable.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Maryland, the next important step is getting your Maryland Seller’s Permit, also known as a sales tax permit.
You can register for a Sales and Use Tax License online through the Maryland Tax Connect or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Maryland, you don’t have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Maryland, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the Online Verification of Maryland Tax Account Numbers provided by the Comptroller of Maryland after you receive your sales tax permit. In most cases, this form needs either a sales and use tax registration number or an exemption number to be valid. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Maryland Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. However, Maryland is not a party to this program, meaning it does not follow the uniform rules and definitions established by SST but has its own sales tax regulations.
Check with the Comptroller of Maryland for the most current information on Maryland’s participation in the Streamlined Sales Tax initiative.
In Maryland, the sales tax is made up of only the statewide sales tax. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Maryland Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Florida and sells to a customer in Baltimore, MD, with a ZIP code of 21201. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Maryland is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a Maryland-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Florida to a customer in Baltimore, Maryland, where you have nexus, you’d apply Baltimore’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Maryland sales tax returns. Filing and remittance can vary in frequency, typically monthly or quarterly.
The frequency of your filings is determined by your sales and use tax liability and occurs in one of the following ways:
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Maryland’s sales tax regulations.
In Maryland, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 20th deadline falls on a holiday or weekend, you’ll have until May 21st, the following business day, to submit.
To file your sales tax return for Maryland, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
Maryland’s timely filing discount is in the form of a deduction, with the amount determined using specific formulas based on the sales tax due. The maximum discounts available range from 1.2% of the first $6,000 sales tax collected to 0.9% for the sales tax amount collected above $6,000.
Currently, for 2025, the planned sales tax holidays in Maryland are:
|
Like in most states, sales tax is a big part of how Maryland generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Maryland:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Maryland or any state! |
Positioned as a hub of Midwestern commerce and a crossroads of America, Illinois stands out not just for its iconic Chicago skyline and rich history but also for its bustling business landscape. Yet, mastering the complexities of sales tax in Illinois calls for a deep dive into its unique rules and regulations, something every savvy business owner or entrepreneur in the Land of Lincoln should be well-versed in.
This guide breaks down everything you need to know about Illinois’s sales tax, from determining the right state and local sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Illinois’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Illinois.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Illinois include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2018, the threshold for economic nexus in Illinois is $100,000 in gross revenue or 200 transactions in the preceding 12-month period.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for both physical and economic sales tax nexus requirements in Illinois.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Illinois.
Almost all goods are taxable in Illinois, including:
The goods that are exempt from sales tax are:
In Illinois, all service-based transactions, such as professional services, advertising, and cleaning services, are not subject to sales tax.
SaaS (i.e. computer software) is not taxable in the state of Illinois.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also not taxable.
Shipping and handling charges in the state of Illinois are generally not taxable.
However in certain situations, shipping and handling fees are subject to sales tax if they meet the following conditions:
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Illinois, the next important step is getting your Illinois Seller’s Permit, also known as a sales tax permit.
You can register for a seller’s permit online through the MyTaxIllinois or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Illinois, you have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Illinois, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out Form CRT-61 provided by Illinois after you receive your sales tax permit from the state. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Colorado Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. However, Illinois is not a party to this program, meaning it does not follow the uniform rules and definitions established by SST but has its own sales tax regulations.
In Illinois, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Illinois Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Pennsylvania and sells to a customer in Chicago, IL, with a ZIP code of 60607. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Illinois is a destination-based state, meaning sales tax is determined based on the seller’s location. That means for an Illinois-based seller, sales tax is generally based on the location of the seller when selling within the state.
For out-of-state or remote sellers, the IL tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Pennsylvania to a customer in Chicago, Illinois, where you have nexus, you’d apply Chicago’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Illinois sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Illinois’ sales tax regulations.
In Illinois, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 20th deadline falls on a holiday or weekend, you’ll have until May 21st, the following business day, to submit.
To file your sales tax return for Illinois, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
Illinois’ timely filing discount is either $5 or 1.75% of the total sales tax collected, whichever amount is higher.
Currently, for 2025, there are no planned sales tax holidays in Illinois.
Like in most states, sales tax is a big part of how Illinois generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Illinois:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Illinois or any state! |
Kentucky, often referred to as the Bluegrass State for its rich heritage in horse racing and bourbon, presents a unique landscape for business ventures. Grappling with the sales tax in Kentucky involves delving into a complex web of regulations.
This guide breaks down everything you need to know about Kentucky’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Kentucky’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Kentucky.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Kentucky include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning July 1, 2018, the threshold for economic nexus in Kentucky is $100,000 in gross revenue or 200 transactions in the previous or current calendar year’s sales.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for sales tax nexus requirements in Kentucky.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Kentucky.
Almost all goods are taxable in Kentucky, including:
The goods that are exempt from sales tax are:
In Kentucky, the majority of service-based transactions, such as janitorial services and landscaping, are subject to sales tax.
However, there are specific situations where certain services are exempt from sales tax, especially if gross receipts are under $6,000 for the first calendar year of operation if sold after January 1, 2023. If sold prior to January 1, 2023, gross receipts from the sales should be less than $6,000 in calendar year 2021, for the below services to be exempt from sales tax. Those services include:
SaaS is taxable in the state of Kentucky.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also taxable, with the exception of digital audio-visual work.
When delivering a taxable product to a location in Kentucky chosen by the customer via postal service or a common carrier, shipping fees are not taxed; however, if the seller personally delivers the product, these shipping charges typically become taxable. Handling charges are always subject to tax without any exceptions. In cases where a seller charges a single amount for both shipping and handling, this total fee is taxable regardless of the delivery method.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Kentucky, the next important step is getting your Kentucky Seller’s Permit, also known as a sales tax permit.
You can register for a Sales and Use Tax Permit online through the Kentucky One Business Stop Portal or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Kentucky, you don’t have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Kentucky, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out Form 51A105 – Resale Certificate provided by the Kentucky Department of Revenue after you receive your sales tax permit. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Kentucky Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Kentucky is a party to this program, meaning it follows the uniform rules and definitions established by SST.
Check with the Kentucky Department of Revenue for the most current information on Kentucky’s participation in the Streamlined Sales Tax initiative.
In Kentucky, the sales tax is made up of only the statewide sales tax. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Kentucky Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Kentucky and sells to a customer in Louisville, KY, with a ZIP code of 40214. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Kentucky is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a Kentucky-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from California to a customer in Louisville, Kentucky, where you have nexus, you’d apply Louisville’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Kentucky sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Kentucky’s sales tax regulations.
In Kentucky, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 20th deadline falls on a holiday or weekend, you’ll have until May 21st, the following business day, to submit.
To file your sales tax return for Kentucky, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly. Kentucky’s timely filing discount amount is a 1.75% discount on the first $1,000 and a 1.50% discount on any additional amount without exceeding $50 per month.
Currently, for 2025, there are no planned sales tax holidays in Kentucky.
Like in most states, sales tax is a big part of how Kentucky generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Kentucky:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Kentucky or any state! |
New Jersey, renowned for its beautiful Jersey beaches and lush gardens, is a hotspot for business. However, figuring out the intricacies of New Jersey sales tax can be a bit tricky.
This guide breaks down everything you need to know about the Garden State’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle New Jersey sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in New Jersey.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in New Jersey include:
To stay informed about the current criteria for establishing a physical sales tax nexus in New Jersey, take a look at the official regulations available right here!
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning January 1, 2018, the threshold for economic nexus in New Jersey is $100,000 in gross revenue on the previous or current calendar year’s sales or 200 or more separate transactions sourced to the state.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing economic sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in New Jersey.
Knowing whether the goods you’re selling or services you’re offering are taxable in New Jersey is one of the first things you need to know.
Almost all goods are taxable in New Jersey, including:
The goods that are exempt from sales tax are:
In New Jersey, the majority of service-based transactions such as professional services, advertising, and interior design services are not subject to sales tax, unless they are specifically mentioned as being taxable.
Some of the examples of services that are taxable are:
Refer to the New Jersey Department of Revenue for further information on the taxability of services.
SaaS is not taxable in the state of New Jersey as long as it is not electronically delivered to the user. However, any SaaS that meets the definition of an information service is subject to sales tax.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are taxable.
Shipping and handling charges in the state of New Jersey are taxable. But if the item you’re purchasing is tax-exempt, you may not be required to pay sales tax.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in New Jersey, the next important step is getting your New Jersey Seller’s Permit.
You can register for a Certificate of Authority online through the New Jersey Department of Treasury or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In New Jersey, you don’t have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In New Jersey, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
In New Jersey, the resale certificate is known as Form ST-3, or the Sales Tax Resale Certificate. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a New Jersey Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. New Jersey has been a party to this program since October 1, 2005, meaning you may use your SST in this state.
Check with the Department of Treasury for the most current information on New Jersey’s participation in the Streamlined Sales Tax initiative.
In New Jersey, the sales tax is made up of only the statewide sales tax, except for Salem County, which collects only its own local sales tax excluding the statewide sales tax. To figure out the total sales tax for your calculation, you’ll need to determine where your transaction occurs. Use TaxHero’s New Jersey Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in New Jersey and sells to a customer in Newark City, NJ, with a ZIP code of 07106. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
New Jersey is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a New Jersey-based seller, sales tax is generally based on the buyer’s location when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from California to a customer in Newark City, New Jersey, where you have nexus, you’d apply Newark’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your New Jersey sales tax returns. Filing and remittance can vary in frequency, typically monthly or quarterly.
You will be required to file and pay monthly if you:
If you don’t meet this requirement, then you will be filing quarterly.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with New Jersey’s sales tax regulations.
In New Jersey, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20 for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of January, and the February 20th deadline falls on a holiday or weekend, you’ll have until February 21st, the following business day, to submit.
If you’re a quarterly filer, the due date for remittance falls on or before the 20th of January, April, July, and October for the preceding three-month period.
To file your sales tax return for New Jersey, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly. However, New Jersey does not offer a discount.
Currently, for 2025, there are no planned sales tax holidays in New Jersey.
Like in most states, sales tax is a big part of how New Jersey generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in New Jersey:
Wisconsin’s blend of vibrant cities, picturesque farmland, and thriving businesses makes it a unique place to live and work. But whether you’re making a purchase or running a business, knowing how sales tax in Wisconsin applies can help you navigate costs and avoid unexpected fees.
This guide breaks down everything you need to know about Wisconsin’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Wisconsin’s sales tax with confidence and ease.
|
|||||||||||||||||||
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Wisconsin or any state! |
Are you an e-commerce entrepreneur with dreams of making it big in the bustling business hub of the world? To succeed in New York, the business capital of the world, it’s essential to understand and navigate NY sales tax regulations.
This guide breaks down everything you need to know about the Empire State’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle New York’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in New York.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in New York include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning June 24, 2019, the threshold for economic nexus in New York is $500,000 in gross revenue and 100 transactions in the previous or current calendar year’s sales. This is different from most states as you meet economic nexus if you meet the dollar threshold and the order threshold.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in New York.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in New York.
Almost all goods are taxable in New York, including:
The goods that are exempt from sales tax are:
In New York, the majority of service-based transactions, such as professional services, advertising, and laundry and dry cleaning services are not subject to sales tax.
However, there are specific situations where certain services are taxable:
SaaS is taxable in the state of New York.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are not taxable.
Shipping and handling charges in the state of New York are taxable.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in New York, the next important step is getting your New York Seller’s Permit, also known as a sales tax permit.
You can register for a Certificate of Authority online through the New York Business Express or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In New York, you don’t have to renew your sales tax permit unless the New York State Department of Taxation and Finance sends you a notification letter requiring you to renew your sales tax permit. This is randomly selected by the State.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In New York, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the ST-120:6/18 Form: New York State and Local Sales and Use Tax Resale Certificate. In most cases, this form needs either a sales and use tax registration number or an exemption number to be valid. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a New York Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. However, New York is not a party to this program, meaning it does not follow the uniform rules and definitions established by SST but has its own sales tax regulations.
Check with the New York State Department of Taxation and Finance for the most current information on New York’s participation in the Streamlined Sales Tax initiative.
In New York, sales tax isn’t just one simple rate; it’s a combination of state and local taxes and an additional surcharge of 0.375% if the location is within the Metropolitan Commuter Transportation District. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s New York Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Florida and sells to a customer in New York City, NY, with a ZIP code of 10018. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
New York is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a New York-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Florida to a customer in New York City, New York, where you have nexus, you’d apply NYC’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your New York sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
If your quarterly sales tax collections exceed $300,000, you’ll need to file monthly. If your sales tax collections are under $300,000 during the previous quarter, you’ll file quarterly. For businesses owing $3,000 or less in sales tax annually, an annual filing requirement applies.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with New York sales tax regulations.
Unlike many states that adhere to a uniform filing date, the state of New York has distinct due dates based on the frequency of filing. For monthly filers, all sales tax collected in a given month is due by the 20th day of the following month. For example, sales tax from January should be filed by February 20th.
For quarterly filers:
For annual filers with a filing period of March 1 to February 28 (29 if it’s a leap year), the filing is due by March 20 of the following year.
If the due date falls on a weekend, public holiday, or is interrupted by unforeseen events like natural disasters, the deadline is typically extended to the next business day. For instance, if May 20th lands on a weekend, monthly filers would have until May 21st to submit.
To file your sales tax return for New York, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
New York’s timely filing discount offers a 5% discount for quarterly and annual filers with a maximum of $200 per reporting period and a minimum of $0. No filing discount is available for monthly filers.
Like in most states, sales tax is a big part of how New York generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in New York:
Georgia, known for its beautiful landscapes and rich history, is also a hub for trade and tourism in the Southeast. Beyond its natural beauty, the state has a growing business scene. But when it comes to handling sales tax in Georgia, it’s important to know the rules and regulations that make the process unique.
This guide breaks down everything you need to know about the Georgia’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Georgia’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Georgia.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Georgia include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning January 1, 2020, the threshold for economic nexus in Georgia is $100,000 in gross revenue or 200 transactions on the previous or current calendar year’s sales.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in Georgia.
Knowing whether the goods you’re selling or services you’re offering are taxable in Georgia is one of the first things you need to know.
Almost all goods are taxable in Georgia, including:
The goods that are exempt from sales tax are:
In Georgia, the majority of service-based transactions, such as medical services, project management, and engineering are not subject to sales tax. However, there are specific situations where certain services are deemed taxable.
However, there are specific situations where certain services are taxable. For instance, taxable services are:
SaaS is not taxable in the state of Georgia.
Digital products (i.e., ebooks, downloadable video content, mobile apps) will remain exempt from sales tax until the end of 2023. However, following the signing of Georgia Senate Bill 56 on May 2, 2023, digital products, goods, services, and downloaded codes within Georgia will be subject to Georgia sales and use tax starting from January 1, 2024.
Shipping and handling expenses are not taxable in the state of Georgia if the item you buy is tax-exempt. But if the item is taxable, the shipping can be fully, partially, or not taxable.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Georgia, the next important step is getting your Georgia Seller’s Permit, also known as a sales tax permit.
You can register for a seller’s permit online through the Georgia Tax Center or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Georgia, you don’t have to renew your sales tax permit. It remains in effect as long as the company remains operational without any changes in ownership or structure.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Georgia, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the ST-5 tax exemption certificate form provided by Georgia if you have a sales tax permit in the state. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Georgia Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Georgia is a party to this program, meaning it follows the uniform rules and definitions established by SST.
Check with the Georgia Department of Tax/Revenue for the most current information on Georgia’s participation in the Streamlined Sales Tax initiative.
In Georgia, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Georgia Sales Tax Calculator to compute for sales tax.
Here’s an example: Suppose an out-of-state seller satisfies the economic nexus criteria in Georgia and sells to a customer in Atlanta, GA, with a ZIP code of 30303. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Georgia is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a Georgia-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Texas to a customer in Atlanta, Georgia, where you have nexus, you’d apply Atlanta’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Georgia sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually. For the first 6 months after registering for sales tax, all businesses are required to file sales tax returns monthly. If you have low sales volume and sales tax liability, you can reach out to the Georgia Department of Revenue to request a quarterly or annual filing.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Georgia’s sales tax regulations.
In Georgia, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of December, and the January 20th deadline falls on a holiday or weekend, you’ll have until January 22nd, the following business day, to submit.
Businesses with a notable sales tax liability may need to make monthly prepayments ahead of their monthly return filings. The specifics of these prepayments depend on the business’s prior year’s tax liabilities.
If a dealer paid over $60,000 in taxes last year (not counting local sales taxes), they need to make a prepayment for the upcoming year. This prepayment is half of their average monthly tax from the previous year, adjusted if the tax rate changes.
To file your sales tax return for Georgia, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
Georgia provides a 3% discount on the initial $3,000 of tax owed and a 0.5% discount on any amount beyond that.
Currently, for 2025, there are no planned sales tax holidays in Georgia.
Like in most states, sales tax is a big part of how Georgia generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Georgia:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Georgia or any state! |
In Minnesota, the Land of 10,000 Lakes, natural beauty blends seamlessly with a vibrant Midwestern spirit. Understanding sales tax in Minnesota means uncovering a system as balanced and dependable as the state’s renowned outdoor adventures and welcoming communities.
This guide breaks down everything you need to know about Minnesota’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Minnesota’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Minnesota.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Minnesota include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2019, the threshold for economic nexus in Minnesota is $100,000 in gross revenue or 200 transactions in the prior 12 months.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing economic sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in Minnesota.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Minnesota.
Almost all goods are taxable in Minnesota, including:
The goods that are exempt from sales tax are:
In Minnesota, the majority of service-based transactions, such as professional services, advertising, and employment services, are not subject to sales tax.
However, there are specific situations where certain services are taxable. For instance, taxable services are:
SaaS is not taxable in the state of Minnesota. However, software is taxable if bought, leased, or licensed to a customer and stored on a server in Minnesota.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are taxable.
Shipping and handling charges in Minnesota are taxable if the sale of the item is taxable. If the item is exempt, the shipping charge is also exempt.
You can register for a seller’s permit online through the Minnesota Department of Revenue (MNDOR) or follow our detailed step-by-step guide for assistance.
A common area of confusion for many new business owners is understanding the need for a Sales and Use Tax Permit, also known as a seller’s permit. You can register for a Minnesota sales tax permit online at the Minnesota Tax Portal (MTP) or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Minnesota, you don’t have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Minnesota, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the Minnesota form ST-3 – Certificate of Exemption provided by Minnesota after you receive your sales tax permit. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Minnesota Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Minnesota is a party to this program, meaning it follows the uniform rules and definitions established by SST.
Check with the Minnesota Revenue Services for the most current information on Minnesota’s participation in the Streamlined Sales Tax initiative.
In Minnesota, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Minnesota and sells to a customer in Rochester, MN, with a ZIP code of 55901. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based state or destination-based state to figure out what rate to charge for sales tax.
Minnesota is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a Minnesota-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Maine to a customer in Eagan, Minnesota, where you have nexus, you’d apply Eagan’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Minnesota sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Minnesota’s sales tax regulations.
In Minnesota, the due date falls 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 20th deadline falls on a holiday or weekend, you’ll have until May 21st, the following business day, to submit.
To file your sales tax return for Minnesota, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly. However, Minnesota does not offer a discount.
Currently, for 2025, there are no planned sales tax holidays in Minnesota.
Like in most states, sales tax is a big part of how Minnesota generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Minnesota:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Minnesota or any state! |
As a proud member of the Great Plains region, North Dakota is truly a place for growth and adventure, especially for various enterprises. With so many opportunities, understanding sales tax in North Dakota is essential to achieving a bountiful harvest for your business.
This guide breaks down everything you need to know about North Dakota’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle North Dakota’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in North Dakota.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in North Dakota include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2018, the threshold for economic nexus in North Dakota is $100,000 in gross revenue in the previous or current calendar year’s sales.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in North Dakota.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in North Dakota.
Almost all goods are taxable in North Dakota, including:
The goods that are exempt from sales tax are:
In North Dakota, most service-based transactions, such as personal or professional services, advertising, and cleaning services are not subject to sales tax.
However, there are specific situations where certain services are taxable. For instance, taxable services are:
SaaS is not taxable in the state of North Dakota.
Digital products, such as digital audiovisual works, digital audio works, and digital books, are not considered tangible personal property and are generally exempt from sales tax. Prewritten (canned) software, whether delivered electronically or on physical media, is taxable.
Shipping and handling charges in the state of North Dakota are taxable. However, shipping and handling charges can be exempt from sales tax when selling a non-taxable item.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in North Dakota, the next important step is getting your North Dakota Seller’s Permit, also known as a sales tax permit.
You can register for a North Dakota sales tax permit online at the North Dakota Taxpayer Access Point (ND TAP) or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit. However, the state may require a bond to secure your permit. After 2 years of remitting accurate and timely returns, you can request an early bond refund.
Renewal
In North Dakota, you don’t have to renew your sales tax permit as long as the business exists without any changes in ownership or structure.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In North Dakota, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the Certificate of Resale Form provided by North Dakota after you receive your sales tax permit. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. North Dakota is a party to the program, meaning it follows the uniform rules and definitions established by SST.
Check with the North Dakota Office of State Tax Commissioner for the most current information on North Dakota’s participation in the Streamlined Sales Tax initiative.
Need help? Read our blog: How to Get a North Dakota Resale Certificate for your Business
In North Dakota, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in North Dakota and sells to a customer in Fargo, ND, with a ZIP code of 58102. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based state or destination-based state to figure out what rate to charge for sales tax.
North Dakota is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a North Dakota-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from California to a customer in Bismarck, North Dakota, where you have nexus, you’d apply Bismarck’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your North Dakota sales tax returns. Filing and remittance can vary in frequency, typically monthly or quarterly.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with North Dakota’s sales tax regulations.
In North Dakota, the due date falls on the last day of the month. For instance, sales tax collected in January is due by February 28th (or 29th if it’s a leap year) for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 31st deadline falls on a holiday or weekend, you’ll have until June 1st, the following business day, to submit.
When filing your sales tax return for North Dakota, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly. North Dakota’s timely filing discount amount is determined using specific formulas based on the tax due. The maximum discount available for sellers in North Dakota is 1.5% of tax due, allowing you to retain a total of $110 per month.
Currently, for 2025, there are no planned sales tax holidays in North Dakota.
Like in most states, sales tax is a big part of how North Dakota generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial to always ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in North Dakota:
Frequent offenses may result in more penalties, such as your records being assessed, having a lien placed on your personal property, or your business license being revoked.
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in North Dakota or any state! |
Michigan, known for its breathtaking Great Lakes and diverse landscapes, offers abundant business prospects. However, unraveling the complexities of Michigan sales tax might prove more challenging than charting a course across its expansive lakes.
This guide breaks down everything you need to know about Michigan’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Michigan’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Michigan.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Michigan include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2018, the threshold for economic nexus in Michigan is $100,000 in gross revenue or 200 transactions in the previous or current calendar year’s sales or prior 12 months.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for sales tax nexus requirements in Michigan.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Michigan.
Almost all goods are taxable in Michigan, including:
The goods that are exempt from sales tax are:
In Michigan, the majority of service-based transactions, such as professional services and advertising, are not subject to sales tax.
However, there are specific situations where certain services are taxable. If a business offers repair, enhancement, or modification services for items owned by others, and also sells tangible products, it needs to get a sales tax license. Any item provided to the customer as part of the service or repair is seen as a retail sale and, therefore, is subject to sales tax.
SaaS is not taxable in the state of Michigan.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also not taxable.
Shipping and handling charges in the state of Michigan are not taxable if the seller:
Meanwhile, shipping and handling charges may be subject to sales and use taxes in the state of Michigan if:
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Michigan, the next important step is getting your Michigan Seller’s Permit, also known as a sales tax permit.
You can register for a Sales Tax License online through the Michigan Treasury Online or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Michigan, you have to renew your sales tax permit every year.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Michigan, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out Form 3372 – Michigan Sales and Use Tax Certificate of Exemption provided by the State, or you can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Michigan Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Michigan has been a party to this program since October 1, 2005, meaning you may use your SST in this state.
Check with the Department of Treasury for the most current information on Michigan’s participation in the Streamlined Sales Tax initiative.
In Michigan, the sales tax is made up of only the statewide sales tax. To figure out the total sales tax for your calculation, you’ll need to determine where your transaction occurs. Use TaxHero’s Michigan Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Michigan and sells to a customer in Detroit, Michigan, with a ZIP code of 48226. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Michigan is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a Michigan-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from California to a customer in Detroit, Michigan, where you have nexus, you’d apply Detroit’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Michigan sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Michigan’s sales tax regulations.
In Michigan, the due date falls on the 20th day of the following month for monthly and quarterly filers. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of January, and the February 20th deadline falls on a holiday or weekend, you’ll have until February 21st, the following business day, to submit.
If you’re an annual filer, the due date for remittance falls on February 28 (or February 29 if a leap year) following the reported tax year.
Taxpayers whose average sales or use tax annually is an average of $720,000 are required to remit on an accelerated schedule of about 75% of the total tax liability on or before the 20th day of the current month. For more detailed information regarding the accelerated EFT filing requirements, check out the Michigan Department of Treasury.
To file your sales tax return for Michigan, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
Michigan’s timely filing discount amount is determined using specific formulas based on the tax due. The maximum discounts available range from $15,000 to $20,000, depending on the filing period.
Currently, for 2025, there are no planned sales tax holidays in Michigan.
Like in most states, sales tax is a big part of how Michigan generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Michigan:
Nevada, often celebrated for its lively cities and vast deserts, stands as a distinct hub for commerce and innovation. And if you plan on establishing your business in the Silver State, understanding sales tax in Nevada is crucial for navigating its unique business landscape.
This guide breaks down everything you need to know about Nevada’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Nevada’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Nevada.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Nevada include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2018, the threshold for economic nexus in Nevada is $100,000 in gross revenue or 200 transactions in the previous or current calendar year’s sales.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for sales tax nexus requirements in Nevada.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Nevada.
Almost all goods are taxable in Nevada, including:
The goods that are exempt from sales tax are:
In Nevada, the majority of service-based transactions, such as professional services, advertising, and cleaning services, are not subject to sales tax if separately stated on an invoice.
When a service also includes some tangible goods or property, the service portion can still be exempt from sales tax if two conditions are met:
If the service fees are broken out on their own line, only those goods/property charges would be taxable. The service itself would qualify for sales tax exemption.
Sales tax may apply to the full combined amount if the invoice lumps everything into one blended total without separating the service cost. So, the key is itemizing the service fees independently to exclude them from sales tax.
However, there are specific situations where certain services are taxable. For instance:
SaaS is not taxable in the state of Nevada.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also not taxable.
Shipping and handling charges in the state of Nevada are not taxable when you buy a physical item, and the shipping cost is listed separately on the bill. But, if there are extra services like packing or handling, you still have to pay tax on those, even if they’re listed separately. Also, any shipping costs that happened before you bought the item (like getting it to the store) are taxable. These costs might be added to the item’s price or shown separately on your bill.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Nevada, the next important step is getting your Nevada Seller’s Permit, also known as a sales tax permit.
You can register for a Certificate of Authority online through the Nevada Tax Center or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is a $15 fee per location to register for a sales tax permit.
Renewal
In Nevada, you don’t have to renew your sales tax permit. However, if you open a business in a new location, you must apply for another sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Nevada, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the Tax-C006 Nevada Resale Certificate form provided by the Nevada Department of Taxation after you receive your sales tax permit.
You can also fill out theStreamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Nevada Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Nevada has been a party to this program since April 1, 2008, meaning it follows the uniform rules and definitions established by SST.
Check with the Nevada Department of Taxation for the most current information on Nevada’s participation in the Streamlined Sales Tax initiative.
In Nevada, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Nevada Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Pennsylvania and sells to a customer in Las Vegas, Nevada, with a ZIP code of 89032. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Nevada is a destination-based state, meaning sales tax is determined based on the buyer’s location. That means for a Nevada-based seller, sales tax is generally based on the location of the buyer when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Pennsylvania to a customer in Las Vegas, Nevada, where you have nexus, you’d apply Las Vegas’ sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Nevada sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually. By default, all businesses are required to file sales tax returns monthly. However:
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Nevada’s sales tax regulations.
In Nevada, the due date falls on the last day of the following month. For instance, sales tax collected in January is due by February 28th (or 29th if it’s a leap year) for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 31st deadline falls on a holiday or weekend, you’ll have until June 1st, the following business day, to submit.
To file your sales tax return for Nevada, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly. Nevada’s timely filing discount is an uncapped 0.25% discount of the total sales tax due.
Currently, for 2025, here is the planned sales tax holiday in Nevada:
Like in most states, sales tax is a big part of how Nevada generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Nevada:
In the heart of America, Indiana blends the charm of its basketball legacy and lush farmlands with a robust business environment. Yet, navigating its economic landscape is a unique challenge, especially in understanding sales tax in Indiana and its laws. This knowledge is essential for thriving amidst the vibrant and diverse economic fabric of the Hoosier State.
This guide breaks down everything you need to know about Indiana’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Indiana’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Indiana.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Indiana include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Starting January 1, 2024, Indiana will only have a $100,000 threshold for sales tax nexus. If a merchant meets the 200 transaction threshold in 2023 but not the $100,000 threshold, they may close their sales tax account in 2024 if they do not have $100,000 in sales in 2024. However, they will still have to file all required sales tax returns for 2024.
It should be noted that while the nexus criteria mentioned above generally apply to most businesses, additional methods are available for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in Indiana.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Indiana.
Almost all goods are taxable in Indiana, including:
The goods that are exempt from sales tax are:
For the latest updates and detailed information on sales tax in Indiana, you can visit the Sales Tax Information Bulletins, which provides current guidelines and bulletins.
In Indiana, the majority of all service-based transactions, such as professional services, advertising, and cleaning services are not subject to sales tax.
However, there are specific situations where certain services are taxable. For instance, a few taxable services are:
SaaS (i.e., computer software) is not taxable in the state of Indiana.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are taxable only when the seller gives the buyer the right to use them permanently without requiring ongoing payments.
Shipping and handling charges in the state of Indiana are taxable. Sales tax is exempt if delivery charges are billed and furnished by a third party.
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Indiana, the next important step is getting your Indiana Seller’s Permit, also known as a sales tax permit.
You can register for a Retail Merchant Certificate online through the Indiana Business Roadmap (INBiz) or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee There is a $25 fee to register for a sales tax permit.
Renewal In Indiana, you have to renew your sales tax permit every 2 years.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them, as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Indiana, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the General Sales Tax Exemption Certificate Form ST-105 provided by Indiana if you have a sales tax permit in the state after you receive your sales tax permit. You can also fill out the Streamlined Sales and Use Tax Certificate of Exemption if you would like to get sales tax exemption for multiple states simultaneously. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get an Indiana Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. Indiana is a party to this program, meaning it follows the uniform rules and definitions established by SST.
Check with the Indiana Department of Revenue for the most current information on Indiana’s participation in the Streamlined Sales Tax initiative.
To determine the total sales tax for your calculation, you’ll only need to consider the state sales tax rate, as there are no additional county or city rates applicable for the state of Indiana. Use TaxHero’s Indiana Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Indiana and sells to a customer in Indianapolis, IN, with a ZIP code of 46204. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Indiana is destination-based, meaning sales tax is determined based on the seller’s location. That means for an Indiana-based seller, sales tax is generally based on the location of the seller when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Ohio to a customer in Indianapolis, Indiana, where you have Nexus, you’d apply Indianapolis’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Indiana sales tax returns. Filing and remittance can vary in frequency, typically monthly or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Indiana’s sales tax regulations.
In Indiana, the due date falls for sales tax varies. Monthly filers must submit by the 20th of the month following the reporting period if their average monthly sales and use tax liability exceeded $1,000 in the previous year or if filing a combined sales/withholding tax return.
If the liability did not exceed $1,000, the due date is the 30th of the month following the reporting period. For annual filers, the due date is the last day of the month following the reporting period.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 20 deadline falls on a holiday or weekend, you’ll have until May 21st, the following business day, to submit.
To file your sales tax return for Indiana, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales taxes on time as an incentive to process them promptly. Indiana’s timely filing discount amount is 1% of sales tax collected.
Currently, for 2025, there are no planned sales tax holidays in Indiana.
Like in most states, sales tax is a big part of how Indiana generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Indiana:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Indiana or any state! |
Nestled in the heart of the East Coast, Virginia, also known as the Old Dominion, stands as a unique hub where history, culture, and business intersect. Understanding the particular rules and regulations of sales and use tax in Virginia is key to navigating its intricate business landscape.
This guide breaks down everything you need to know about Old Dominion State’s sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Virginia’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Virginia.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Virginia include:
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning July 1, 2019, the threshold for economic nexus in Virginia is $100,000 in gross revenue or 200 transactions in the previous or current calendar year’s sales or prior 12 months.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in Virginia.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Virginia.
Almost all goods are taxable in Virginia, including:
The goods that are exempt from sales tax are:
In Virginia, the majority of service-based transactions, such as professional services, clothing alterations, and repair services, are not subject to sales tax.
However, there are specific situations where certain services are taxable. If a business offers services that include creating or manufacturing a tangible personal product, it is seen as a retail sale and, therefore, is subject to sales tax.
SaaS is not taxable in the state of Virginia.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also not taxable.
Shipping charges in the state of Virginia are not taxable. However, the handling charge is taxable as it’s not specifically excluded from the definition of “sales price.”
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Virginia, the next important step is getting your Virginia Seller’s Permit, also known as a sales tax permit.
You can register for a Retail Sales and Use Tax Permit online through the Virginia Department of Taxation or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Virginia, you don’t have to renew your sales tax permit.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Virginia, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out Form ST-10 – Commonwealth of Virginia Sales and Use Tax Certificate of Exemption after you receive your sales tax permit. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Virginia Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. However, Virginia is not a party to this program, meaning it does not follow the uniform rules and definitions established by SST but has its own sales tax regulations.
Check with the Virginia Department of Taxation for the most current information on Virginia’s participation in the Streamlined Sales Tax initiative.
In Virginia, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Virginia Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Virginia and sells to a customer in Richmond, VA, with a ZIP code of 23237. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Virginia is an origin-based state, meaning sales tax is determined based on the seller’s location. That means for a Virginia-based seller, sales tax is generally based on the location of the seller when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from New York to a customer in Richmond, Virginia, where you have nexus, you’d apply Richmond’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Virginia sales tax returns. Filing and remittance can vary in frequency, typically monthly or quarterly. If you have low sales volume and sales tax liability, you can reach out to the Virginia Department of Taxation to request a quarterly filing.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Virginia sales tax regulations.
In Virginia, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of January, and the February 20th deadline falls on a holiday or weekend, you’ll have until February 21st, the following business day, to submit.
To file your sales tax return for Virginia, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
Virginia’s timely filing discount is in the form of a deduction, with the amount determined using specific formulas based on the sales tax due. The maximum discounts available range from 0.80% to 1.60%, depending on the total sales tax due.
Currently, for 2025, the planned sales tax holidays in Virginia are on August 1-3, 2025:
Like in most states, sales tax is a big part of how Virginia generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Virginia:
Serving as a cornerstone of industry and travel in the Southwest, the Lone Star State stands out for its sprawling landscapes, rich cultural heritage, and vibrant economic scene. Yet, mastering the nuances of sales tax in Texas demands a comprehensive grasp of its statutes and guidelines.
This guide breaks down everything you need to know about Texas’ sales tax, from determining the right sales tax rates to understanding exemptions and filing processes. By the end of this comprehensive guide, you’ll be equipped to handle Texas’s sales tax with confidence and ease.
When a business creates either a physical or economic nexus, it is required to collect sales tax in Texas.
A physical nexus means having a significant physical presence or engaging in enough activities within a state to require the collection and payment of sales tax. The factors that determine a physical nexus in Texas include:
To stay informed about the current criteria for establishing a physical sales tax nexus in Texas, take a look at the official regulations available right here!
States have established regulations to collect sales tax from out-of-state sellers who meet certain revenue and/or transaction thresholds. This rule is known as economic nexus.
Beginning October 1, 2019, the threshold for economic nexus in Texas is $500,000 in gross revenue in the prior 12 months.
While the nexus criteria mentioned above generally apply to most businesses, additional methods exist for establishing economic sales tax nexus. To access a comprehensive list of these rules, please refer to the governing laws for economic sales tax nexus requirements in Texas.
One of the first things you need to know is whether the goods you’re selling or services you’re offering are taxable in Texas.
Almost all goods are taxable in Texas, including:
The goods that are exempt from sales tax are:
In Texas, the majority of service-based transactions, such as professional services, advertising, and cleaning services, are subject to sales tax.
However, there are specific situations where certain services are tax-exempt. For instance, non-taxable services are:
SaaS is taxable as they are considered part of a data processing service.
Digital products (i.e., ebooks, downloadable video content, mobile apps) are also taxable.
Shipping and handling charges in the state of Texas are taxable.
Sales tax is exempt if:
Now that you’ve got a handle on when sales tax nexus applies and which products are taxable in Texas, the next important step is getting your Texas Seller’s Permit, also known as a sales tax permit.
You can register for a seller’s permit online through the Texas Comptroller of Public Accounts or follow our detailed step-by-step guide for assistance.
Ensure you have specific information on hand when registering for a seller’s permit, including, but not limited to:
Registration fee
There is no fee to register for a sales tax permit.
Renewal
In Texas, you don’t have to renew your sales tax permit. Texas sales tax permits renew automatically every year, so business owners don’t need to do it themselves. But, the permit only stays valid if you’re actively selling as a business.
A resale certificate is a document that allows businesses to buy products without paying sales tax on them as long as they plan to resell those items to customers, who will then pay the tax. As a seller, you can also accept resale certificates from others looking to buy for resale.
In Texas, sellers use resale certificates to buy goods from their suppliers that they intend to resell. The issuance of the certificates is always done in good faith that the seller would report tax on the final sale of the items.
You can fill out the 01-339 Texas Sales and Use Tax Resale Certificate provided by Texas after you receive your sales tax permit. If you don’t want the hassle of registering, sign up for our all-inclusive service that includes sales tax registration.
Need help? Read our blog: How to Get a Texas Resale Certificate for your Business
The Streamlined Sales Tax (SST) is an initiative to simplify and standardize sales tax regulations across multiple states. However, Texas is not a party to this program, meaning it does not follow the uniform rules and definitions established by SST but has its own sales tax regulations.
In Texas, sales tax isn’t just one simple rate; it’s a combination of state and local taxes. To figure out the total sales tax for your calculation, you’ll need to add up the rates for the state, county, and city (if applicable) where your transaction occurs. Use TaxHero’s Texas Sales Tax Calculator to compute for sales tax.
Here’s an example. Suppose an out-of-state seller satisfies the economic nexus criteria in Texas and sells to a customer in Houston, TX, with a ZIP code of 77002. In that case, the seller has to charge the customer a total sales tax, which can be broken down as follows:
|
|||||||||||||||||||
When making in-state sales, it is important to determine if you are located in an origin-based or destination-based state to figure out what rate to charge for sales tax.
Texas is an origin-based state, meaning sales tax is determined based on the seller’s location. That means for a Texas-based seller, sales tax is generally based on the location of the seller when selling within the state.
For out-of-state or remote sellers, the sales tax rate is always determined by the buyer’s location. For instance, if you’re selling a product from Illinois to a customer in Houston, Texas, where you have nexus, you’d apply Houston’s sales tax rate to that sale.
To make life easier, consider using sales tax software or consulting a tax professional, like TaxHero, to ensure accurate tax calculations and collections. Understanding these tax rules helps you stay compliant, whether you’re in-state or out-of-state.
The next step after collection is filing and remitting your Texas sales tax returns. Filing and remittance can vary in frequency, typically monthly, quarterly, or annually.
It’s crucial to keep accurate records of your sales and tax collections and adhere to the filing schedule set by the state to remain compliant with Texas’ sales tax regulations.
In Texas, the due date falls on the 20th day of the following month. For instance, sales tax collected in January is due by February 20th for monthly filers.
However, if this day is a holiday, weekend, or in the rare occurrence of a natural disaster, the deadline is typically extended to the next business day. For instance, if you’re a monthly filer and filing sales tax for the month of April, and the May 20th deadline falls on a holiday or weekend, you’ll have until May 21st, the following business day, to submit.
Businesses with a notable sales tax liability may need to make monthly/quarterly prepayments ahead of their monthly/quarterly return filings. The specifics of these prepayments depend on the business’s prior year’s tax liabilities.
If you pay your taxes monthly or quarterly, you can get a 1.25% discount for paying early. This is on top of the 0.5% discount you get for filing your taxes and payments on time.
To file your sales tax return for Texas, a few options are available:
Some states offer a discount to businesses for collecting, filing, and remitting sales tax on time as an incentive to process sales taxes promptly.
In Texas, permitted sales taxpayers are eligible for a 0.5% discount on the tax amount they report and pay on time.
Currently, for 2025, the planned sales tax holidays in Texas are:
|
Like in most states, sales tax is a big part of how Texas generates revenue. Thus, maintaining compliance with sales tax regulations is of utmost importance. Failure to do so can lead to consequences and sales tax penalties. Therefore, it is crucial always to ensure you are up-to-date in filing, collecting, and remitting sales tax to the state.
Here are the specific penalties for non-compliance with sales tax regulations in Texas:
| Questions? Connect with TaxHero today for a free sales tax consultation about your business in Texas or any state! |
