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Does consignment sales count toward my sales every month when I have to pay sales taxes?

If I puts items in my shop and do consignments does it add to my sales dollars and I have to pay sales taxes every month?

Two vendors want to place items in shop but I do not want to pay sales tax on their items.

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Square Champion

that is a complicated question and the answer varies from state to state.  So you would want to get information from a tax professional in your jurisdiction.  

 

here is an article about consignment and taxes.

 

https://blog.taxjar.com/sales-tax-consignment-101/

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@VanKalkerFarms is correct. Tax laws concerning consignment vary state to state.  FYI, we offer consignment sales tracking for Square merchants using Square's free POS software. We are the only consignment program that integrates with Square. No uploading or downloading of csv files everytime you add inventory, your inventory is added to your POS within seconds. If you find yourself struggling to reconcile your consignment sales, reach out to me. You can check out our website, https://www.consignorconnect.com.

 

Take care!

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My mom and I are going to be opening up a coffee shop soon. We use square currently for our mobile coffee truck pop-ups. We love square and we want to continue using it. We want to offer basically consignment items in our coffee shop to draw more business. We want to have local vendors sell their items in the shop but we want to be able to use square to make it easier to use for consumers who are also buying coffee or our other products. How can we do this so that square does not report it as income? We do not want The consignors to have to have a 1099 at the end of the year to pay taxes.

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Square Community Moderator

Hi @Mojoe I moved your post over to this thread about using Square for consignment shops. 

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