HELLO ALL
HAS ANYONE ENTERED THE STATE TAX MANAGER ? IS THERE A QUICK UPLOAD?
CHEAT SHEET ? IS THERE A TABLE ALREADLY MADE THAT I CAN UPLOAD .

LOCKS.COM COMING SOON -SAN LEANDRO CALIFORNIA.

THANKS
LUIGI

Unless I have been terribly misinformed, you will only need to charge tax to your California customers. You need to charge the tax rate of the town you're based. I am based in Sacramento, so we charge 7.75%. Buyers from other states are charged no tax.

Of course, since we are in a high tax state, our fellow californians would probably do better buying from one of our out-of-state competitors.

Off topic, but thats a killer domain name you have there
I'm just curious if you registered that a long time ago or spend a boatload of cash getting it off someone?

Are you asking me or Luigi, Ewestforth?

OK..LET ME CLARIFY MY QUESTION…my accountant tells me that sales tax is assessed at the ship to location…if that is the case then how does e commerce have the tool to accommodate this. .the set up sets up sales tax by zip code and sales tax is set up by county..certain counties have the same zip code…

So…you California based websites.. How have you set up your sales tax to satisfy the franchise tax board…


Oh..on our domain name…we have owned is for 15 years…. We have been in business for over 30 years…we are now going to have some fun in cyberspace! Late bloomer I know! We also own WWW.LOCKSCENTRAL.COM

Thanks
Luigi
WWW.LOCKS.COM

oops -- we will be on-line the middle on july -or sooner

just getting set up

thanks
Luigi

The California franchise tax board told me to charge the tax rate in effect in the city/county in which your business resides. We have two tax rates: 7.75% for California residents and 0% for everyone else.

7.75% is the tax rate in Sacramento. If we were based in San Francisco, the rate would be higher.

I'm glad to see this topic has surfaced.

I have been quite confused over the tax issue my self. I do understand that I must charge state taxes to buyers within my own state. However it is not clear whether or not I should be charging taxes to out-of-state customers (relative to m\y business location). I wish the state of Florida would address this issue more explicitly.

Here is what I have come accross and the conclusion I have come to. I would like to here what others know about this topic.

My opinion is that taxes don't have to be collected for out-of-state sales.

My state department of revenue indicates who must pay and when, but skirts the internet issue. I suspect they do this on purpose.

Internet sales do not qualify as exempt sales - according to my state's definition of exempt sales. However, internet sales do not conform to the qualifications of sales that do qualify for state sales tax or the state's "use tax" levied on purchases bought from an out-of-state vendor when sales taxes were not collected by that vendor.

The "use tax" applies to taxes assesed against those who PURCHASE not SELL. From what I can tell, this is a serious problem for all states. Each purchse can't be taxed twice (once from each state involved). But who claims the right to the taxes. The seller's state can claim that the product's origin has a right to the tax. The buyer's state can claim the right due to the "use tax" concept. As a result of these conflicting interests, I don't beleive the states have resolved the "internet sales tax" issue.

Can anyone expand on my findings or their state's law addressing this issue.

wow -- thanks for the great info Robert.



thx :
Luigi

We don't charge taxes outside of our own state. Technically, in most states, our buyers are suppose to pay "user taxes." No one does this, of course, but they are suppose to. Fortunately, it is not our role to regulate our buyers' tax compliance.

Good topic...

But... What if I have multiple points of presence in several states, but ship from only one state? (CA)

I was under the impression that I had to charge a customer their state's sales tax if they were located in a state I had an office in. Can anyone address this?

Thanks!

I believe you are correct. You would need to apply the state sales tax in place in any state in which you have a physical presence.

There have been congressional hearings to discuss the idea of imposing a single, nationwide sales tax on Internet transactions. I hope it happens. Any sales tax they decide upon will probably be lower than California's!

In any regard, it is strange that I am at a competitive disadvantage trying to win customers from California because of the sales tax they don't have to pay by going with an online store in another state.