Updated: Nov 12, 2024 Freight charges and delivery methods might seem straightforward, but they come with surprising sales tax implications that every business needs to understand. Our latest video, “The Shocking Truth About Freight, Taxation, Delivery, and Nexus,” dives deep into this complex topic to help you stay compliant and informed. Watch it below!
Key Takeaways:
State-Specific Rules: Freight taxability varies by state, so it's essential to research the sales tax laws for each jurisdiction where you do business.
Taxability Follows the Purchase: Typically, if the purchased item is taxable, so is the freight. But always verify the specific laws for your jurisdiction.
Nexus & Delivery Methods : Your choice of delivery (like using a company van) could create nexus, requiring you to register and collect sales tax in certain areas.
Understanding these nuances can make a huge difference in maintaining compliance and avoiding penalties. Don’t miss this video, it’s packed with valuable insights!
Our mission to provide a resource so business owners, accountants and bookkeepers can understand sales & use tax compliance. We know that sales and use tax laws are not the easiest to understand. Our focus is on empowering you with a framework and general understanding, so you know what questions to ask and where to go to get the information you need to stay on the right side of sales and use tax compliance.
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