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Help! Tax on my Items only appear to apply to my state.
I'm not sure if I set my taxes up correctly for my items. all the items in my store are drop ship items from Printful. I did set up a United States Tax region, but if I do a test sale from an out of state address on any of my items, it shows 0 taxes unless it's from my actual state.
I've had two out of state sales and it also reads 0 taxes at purchase.
I cant seem to find out how to add my USA tax region to my items, Could somebody please tell me how to fix this?
Thanks much!!!
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HI @dwibstore
You would typically only collect sales tax for another state if you have a physical presence or "sales tax nexus" in that state. So as long as it is collecting the tax for your state you should be all set.
I'm not sure if that changes even with drop shipping, but I do not believe that it would change.
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That's interesting, so even though other states may have a online sales tax, they won't be taxed from me if I don't have a physical presence in their state?
In other words, only people buying my products from my state will get our state tax?
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@dwibstore wrote:That's interesting, so even though other states may have a online sales tax, they won't be taxed from me if I don't have a physical presence in their state?
In other words, only people buying my products from my state will get our state tax?
Generally speaking yes that is correct. I would double check with a CPA, but again I believe that you have everything setup correctly and you should be good to go.
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