Do most vendors charge sales tax on shipping?

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cwcarrera

cwcarrera

Member
Jan 1, 2019
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Manatee County FL, United States
I just placed an order at Pyramyd Air and was surprised to see that they charged (collected) tax on the shipping costs. I can’t remember the last time I placed an order at Pyramyd that I didn’t buy enough stuff to get free shipping, but that was the case today. Sales tax in my zip code is 7%; I bought $101.94 in goods and services and there was $13.33 in shipping charges. They charged (collected) $8.07 in sales tax which is 7% of $115.27… the full amount of my ordered items and shipping. It’s not a big deal but it did come as a surprise.

edit for accuracy.
 
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KWK said:
They don't really charge you sales tax. Your state does it.
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Yes, that is correct. I guess I should have used the word collected instead of charged to be completely accurate. The point I was trying to get across is are the vendors supposed to collect sales tax on shipping charges? I would have thought that if there was tax to be collected on shipping that the shipping company would be responsible for collecting that money.
 
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I think it depends on the state. Some states apparently require sales tax on shipping as it is a "service" in their minds. Some do not. I try to find vendors that don't collect / charge ANY tax but they are getting few and far between. Whether a vendor is required to collect sales tax is based on the most recent ruling by the Supreme Court. Many smaller businesses still are not required to collect it but some of them do anyway just to cover their six.

Although the Supreme court ruled in favor of states charging sales tax on purchases outside of their state, I feel that collecting / charging sales tax across state lines is unconstitutional, but obviously now that the ruling is in place it will be very hard to change it.

www.avalara.com

How to handle sales tax on shipping: A state-by-state guide - Avalara

Taxability on shipping varies by state and by the delivery method, whether the products being shipped are taxable or exempt, and other factors. Visit our free 2022 state-by-state report.
www.avalara.com www.avalara.com
 
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marflow 777 said:
most seller have to collect States sales tax on all purchase per the rules of the state and for me it is an extra .101% on nonfood items
and it has been years sense the rules were change
Ebay was my tax-free zone forever, till they change the rules
just added costs we have to live with
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Well you voted for it. Our senators and house passed it and the supreme court upheld it so now you pay it.. enjoy it
 
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Fortunately - at least for now - one good part of the Supreme Court ruling is that smaller companies do not have to collect sales tax for shipments to addresses outside the state or states where they have their physical business or a "nexus" (If their state has a sales tax). At one time I had a basic understanding of which ones were exempt, based on total sales within each state but I can't quote the figures from memory.

Sadly, some states by law require their citizens to pay sales tax on every single item they buy from other states, where they were not charged sales tax. Some reach their tentacles as far as Craigs List, Yard Sales, online classifieds and more. So if your state is one of them, they expect you to keep track of every purchase out of state and write them a check at the end of the year for "use tax".
 
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Trucker3573 said:
Just curious as to how you know 🤷‍♂️
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Well you did your civic duty and voted and that guy stabbed you in the back in Congress or you dont vote and that as good as letting them do it or you don't care . Thats bout all there is to it.

Bit dont think there going to not pass you paying anpther free to them revinue regardless. Who are you to them and there agenda but a cash cow anyway.?

All you need to do is work and pay .
 
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Hateful McNasty said:
Well you did your civic duty and voted and that guy stabbed you in the back in Congress or you dont vote and that as good as letting them do it or you don't care . Thats bout all there is to it.

Bit dont think there going to not pass you paying anpther free to them revinue regardless. Who are you to them and there agenda but a cash cow anyway.?

All you need to do is work and pay .
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Guess I still don’t understand. Wouldn’t you have to know which way (who) someone voted for in order to say they voted for it. I guess it doesn’t really matter just made me wonder. I vote conservative across the board so there are all kinds of things passed I didn’t “vote” for as there are many things I did essentially “vote” for.
 
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Trucker3573 said:
Guess I still don’t understand. Wouldn’t you have to know which way (who) someone voted for in order to say they voted for it. I guess it doesn’t really matter just made me wonder. I vote conservative across the board so there are all kinds of things passed I didn’t “vote” for as there are many things I did essentially “vote” for.
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Check the roll call of the vote.

Maybe for example

clerk.house.gov

Roll Call 289 Roll Call 289, Bill Number: H. R. 3564, 118th Congress, 1st Session

VOTE QUESTION: On Passage, DESCRIPTION: Middle Class Borrower Protection Act, VOTE TYPE: Yea-And-Nay, STATUS: Passed
clerk.house.gov
 
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