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Sales Tax Questions

Discussion in 'Business & Tax Advice' started by media2925, Aug 21, 2012.

  1. media2925

    media2925 Newbie

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    I have a couple questions regarding sales tax.
    1) If I live in Florida and sell a product to someone in New York, do I need to charge them New York sales tax or Florida sales tax?

    2) If I live in Florida and sell an e-book/digital download to someone in New York, do I charge them New York sales tax or Florida sales tax or NO sales tax?

    3) If I do need to charge sales tax to my customers that live in different states, how to I pay all those taxes that the end of the year?

    Any help would be greatly appreciated!
     
  2. mrbear

    mrbear Newbie

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    Internet sales, don't collect sales tax. The buyer pays use tax and is responsible for filing with his state return. Only collect sales tax on sales within your state.
     
  3. Lazlo1967

    Lazlo1967 Junior Member

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    You only charge sales tax on products you ship (physical products) to customers in any state your company has a physical presence (called nexus). If your company is entirely in FL, then you only charge sales tax to FL customers. Be careful as states are really cracking down on this. For example, if you have a Webmaster on the payroll and he lives in say NY, then NY might claim you have nexus there and owe NY sales tax. Let me know if you have any other Internet sales tax related questions (I am something of an expert on this topic).