Localized Sales Tax?

[Aesa]

Most states do not require sales tax be charged on out of state sales via the web but do require sales tax on in-state sales. Is there a setting that I am overlooking to enforce this tax limitation, or perhaps a module (I did not see one in a search of the Mods section)?

[chimol]

Most states do not require sales tax be charged on out of state sales via the web but do require sales tax on in-state sales. Is there a setting that I am overlooking to enforce this tax limitation, or perhaps a module (I did not see one in a search of the Mods section)?

 

Yes, you need to setup your tax zone for the state your in. Once you do that, anybody that is in your state and registers with your site will be charged tax on their purchase.

[Guest]

Yes, you need to setup your tax zone for the state your in. Once you do that, anybody that is in your state and registers with your site will be charged tax on their purchase.

 

Steve,

 

Okay, I'm based in New York State and collect sales tax on shipments to New York customers. But the company must also collect sales tax when we ship to 4 other states (ME, MA, NJ, CT).

 

I have set up a tax zone for each state, with the appropriate sales tax % defined. (New York is a strange one, many many local tax rates..but that's another issue for another day...)

 

The end result is that the sales tax of all 5 zones (ME, MA, NJ, NY & CT) are added together for every purchase, resulting in a total tax of around 30%.

 

What am I doing wrong?

 

While I wait for advice..I'll go tinker....

[chimol]

Steve,

 

Okay, I'm based in New York State and collect sales tax on shipments to New York customers. But the company must also collect sales tax when we ship to 4 other states (ME, MA, NJ, CT).

 

I have set up a tax zone for each state, with the appropriate sales tax % defined. (New York is a strange one, many many local tax rates..but that's another issue for another day...)

 

The end result is that the sales tax of all 5 zones (ME, MA, NJ, NY & CT) are added together for every purchase, resulting in a total tax of around 30%.

 

What am I doing wrong?

 

While I wait for advice..I'll go tinker....

 

I thought you only needed to collect sales tax on purchases that are in your home state area, not other states...are the laws different for those other 4 states?

I'm not really sure what your doing wrong, if you set up the zone for your local and it's working, it seems like it should be working for the others. Maybe someone who is more familiar with the zone tax portion can chime in.

Steve

[♥geoffreywalton]

1. Set up a zone and add state to the zone.

 

2. Set up tax rate and make it applicable to applicable zone not all zones.

[Guest]

1. Set up a zone and add state to the zone.

 

2. Set up tax rate and make it applicable to applicable zone not all zones.

 

Responding to both you and Steve...

 

I did go back and associate a Zone with a Tax Zone..that made all the difference..now it's doing it correctly!

 

With regards to the other states, we have offices in NY, but we are registered with the Secretary of State of the other states to conduct business, and as such, we're responsible for collecting sales tax for those four states, too. The worst is CT...we've never even had a physical presence there, but because we do business there, we have to collect and pay sales and use tax AND corporate and income tax...

 

The government gets it all, at the end of the day. Sigh.

 

Thanks for your help!