Hi, We want to post an update on here about the new laws that are being posted in some states. Some of these states have laws on the books already and some are in the process. What I know right now is we have not had the volume in sales to have to report but times are changing and some states are wanting reports sent at the end of the year on sales as low as $50-$100. This is not to discourage you from buying from us since we don’t have a building in each state just a statement to let you know you may be subject to use tax if you buy online. We got a notice last year on parts and paid our use tax in Colorado which is 2.9 % on our online purchases. It was a small amount less than $10.00 for the year. I will be watching for the changes but for now I have a statement on some of the states that have clarification on the books. Here is the statement;
Thanks for your purchase. We look forward to doing business with you again, Country Waterbed Store. Use Tax Statement: If you live in Colorado we have you covered since we are located here we already collect and file sales tax. If you live in Alabama, Kentucky, Louisiana, Oklahoma, Pennsylvania, Rhode Island, Tennessee, Vermont, Washington or another state this notice applies to you; We have not paid sales tax or Use tax on your purchase. You may be liable for Use Taxes when you file your State Tax Return with your State Department of Revenue or State Taxing Authority. Save Your receipt.
Notice to Pennsylvania residents;
Pennsylvania sales or use tax may be due in connection with the purchase and delivery of tangible personal property to Pennsylvania individuals and businesses.
The purchaser is required to file a use tax return if tax is due in connection with the purchase and delivery in the Commonwealth.
This notice is required pursuant to the provisions of the Tax Reform Code of 1971. 72 P.S. § 7213.2.
Pennsylvania sales tax was not collected on this sale. Therefore, you may be required to remit use tax directly to the Commonwealth on your purchase if the items are subject to Pennsylvania sales tax. Please visit your department of revenue online to learn more about your use tax obligations under Pennsylvania law.
Notice to Oklahoma Residents;
Sales or use tax may be due pursuant to 68 O.S. §1393 and you are required to file a return if tax is due
Sales or use tax is not being collected, you the purchaser may be required to remit sales or use tax directly to the Oklahoma Tax Commission. You can obtain more information about this from the Oklahoma Tax Commission online
Notice to Washington Residents;
1. Country Waterbed Store is not required to, and does not, collect Washington sales or use tax. Under Washington law, purchases are not tax-exempt merely because a seller is not required to collect Washington’s tax. Washington law requires Washington purchasers to review untaxed purchases and, if any tax is owed, file a Washington use tax return and pay any tax due. Visit dor.wa.gov/consumerusetax for more information.
Notice to Rhode Island Residents;
Rhode Island Department of Revenue Division of Taxation NOTICE:
TO ALL NON-COLLECTING RETAILERS
Please be advised that there is a new Rhode Island law1 that may affect you. Below is a concise summary of what you need to know about it:
1.) Under the law, you are considered a non-collecting retailer if you do at least 1 of the following: Use in-state software to make sales at retail of taxable goods/services; Sell, lease, deliver, or participate in any activity relating to the sale, lease, or delivery of taxable goods/services, including: o Use of a referrer, retail sale facilitator, or other third party for direct response marketing or referral; Use of a sales process including listing, branding, selling, soliciting, processing, fulfilling, or exchanging; Offer taxable goods/services for sale through retail sale facilitators; Are related to a person with physical presence in this state.
2.) You must comply with the requirements of #3 below if in the preceding calendar year you had: $100,000 in gross revenue from the sale of taxable goods/services delivered in Rhode Island; or 200 or more transactions of taxable goods/services delivered in Rhode Island.
3.) If you do any of the activities in #1 above that qualifies you as a non-collecting retailer, here is what the law requires you to do starting on July 15, 2017 or two weeks after the law passes, whichever is later: Register, collect, and remit sales tax; or Do all of the following: o Post the Website Notice on your website; o Notify the customer at the time of purchase (Checkout Notice); o Notify the customer within 48 hours of purchase (48-Hour Notice); o Send customer with $100+ in annual purchases the Annual Notice by January 31st; and o Provide by February 15th each year the Annual Attestation that the notice requirements were fulfilled.
1 Rhode Island House Bill 5175, Substitute A as amended, Article 8, to be codified at Rhode Island General Laws § 44‐18.2‐1 et seq.
Please note that this concise summary is not a substitute for the law itself. Refer to the law for specific details on any of its provisions.
You may contact the Rhode Island Division of Taxation with any questions or concerns at (401) 574-8955 or firstname.lastname@example.org. Visit our website at www.tax.ri.gov for more information.
August 2017 Notice 2017-09