Amazon FBA & Sales Tax: How to Collect & Pay Sales Taxes with TaxJar
This video discusses Amazon FBA & sales tax, and teaches you how to collect and pay sales taxes in the USA for Amazon.com.
UPDATE: Hi everyone. Recently, we got hit with what (we believe to be false) copyright claims on our older videos music. Regardless of the legitimacy, we’ve been going back through those videos & removing the sections with music 🌞 it’s a slow process with the editor. We’re hoping to restore as many as possible. Thank you 🌞 ecommerce is an ever-changing world, and so we do recommend watching our latest videos regardless. Thank you & we hope you have a wonderful day, wherever you are in the world 🌎
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wait… amazon has never given me sales tax collected on any disbursements ever. so how are you to pay what was collected, im not paying it out of my pocket .lol
i already pay the import taxes ..
I am pretty sure that the dislikes are from lawyers and accountants as these info can't be given for free hhhhhh. Even last night I was following an instagram live and I asked him about taxes .. he read the question and he just said you need to ask layer or accountant hhhhhh.
Thanks a lot, that's what I was looking for.
You're the smartest nicest and beautiful young lady helping people and this was hands DOWN the best video explaining the 1,2,3 of the tax process to amazon sellers. We spent 4 hours talking to our state gov, amazon support (who knew nothing and their help documents were confusing and lacked clarity), and even an accountant (who unless they specialize sales tax and e-commerce know nothing ) only to end up totally confused. We found this video and WHAM everything was clear and we moved forward. We have watched you many times and enjoy your accent and the person you are and only wish we would have purchased a course through you before another. Your great and we want you to know it
Currently amazon is a marketplace facilitator in more thn 40 states which means amazon collects and remit sales tax on seller behalf. Dont waste money on TaxJar
hOmepay .me is a top notch site in reason for take in loads of monnies completely with out leaving your doorstep. It's just Productive .
Hi does this video imply to Canadians as well ? When it comes to collecting and paying sales tax and NEXUS ?
Small note as a fan of most of your videos:
Should add a note to this old video explaining this is no longer up-to-date due to changes in Nexus requirements in most of the states in the US, and referencing the newer video you have on this topic.
This answered quite a few questions I had but this also raises a few more Oh well such is The nature of progress.
this video is a fail, why do I want to see a talking head vs showing me On Your Computer Step by step? #Seriously
what about income tax? if you're in NZ and selling in USA do you pay income tax in USA or NZ or both?
so how do we keep constant track of which fulfillment centres amazon is sending our inventory to? do they notify us? if something gets sent to a fulfillment centre in another state without my knowing, and someone in that state buys something from me, then i will owe sales tax in that state without even knowing it. does TaxJar automatically receive this information from amazon in real time and incorporate it into its calculations? if not, this seems a nightmare to keep on top of.
Hi Sara , How about me ,i didnt collect Tax for last 4 months and now i dont know what to do or where i can pay my tax or how much i have to pay!!!! i didnt make any thing in this 4 months even loose $2k .What i have to do ? i dont want to pay for Tax adviser
Thanking you….is it true that it is illegal to charge sales tax as a seller unless you are licensed in that state to charge it…if so, one would need to apply for sales tax licenses in about 20 states before asking Amazon to collect at 2.9%????
Sorry but there's a point u didn't mention which is (Including the sales tax into my product price) how it's done? Do i advertise the product for $20 then Amazon automatically add that sales tax and my product becomes like $23? Or is it something that's done while i'm doing my listing? i'm not really getting this part
Taxation is Theft.
I live in Texas, but I dont do Amazon.. I just dropship from Aliexpress. Do I still pay taxes?
Please do a new video on taxes and update current tax videos since the US Supreme Court just ruled today against online retailers so nowthey have to pay sales tax in every state even if they don't have a physical presence. South Dakota v. Wayfair, 17-494
thanks very much for the info, my wife and i are starting a hand crafted business and we were scared of the tax issues simply because we live in Delaware and dont have sales tax but our target customers are not all from Delaware. this was very very helpful.
The tax will be add in my payment on my credit card or when they're come up in my house i need to pay?
Is TaxJar better than Amazon's own Tax Service (2,9% of sales fee)?
Question
Even though if amazon collects sales tax for you , you still required to have a tax ID?
If I form an LLC in my state, do I then need to setup the Amazon FBA account using the same name and sell only under that name? Or can I have multiple Amazon FBA branded accounts but all of them belonging to my LLC?
I have two questions about sales tax. How often should I file sales tax returns as a business in its first year? Also, do the options (monthly, quarterly, or annually) vary by state? The chart I found online at this link: http://www.revenue.state.mn.us/businesses/sut/Pages/Filing_Due_Dates.aspx refers to the previous years' data.
Thank you, this video is so helpful. I was getting very stressed reading about tax nexus requirements. This put all of the information together and made it much easier to understand. Thank you for recommending tax jar I had no idea that was an option.
So let me get this straight your only paying taxes if u live in that state or have stuff stored in another?
( I live in tx, and my product is stored in Fl, So i only have to pay taxes in those 2 states, even if someone buy my product from Colorado)?
What are the 9 or so states that require one to have a resell certificate/license with them individually? (The states that will not accept documentation from other state resell registrations.)
Bottom line: Don't do FBA. I think I want to store all of my inventory in a room in my home. Paying for boxes will be cheaper than the Amazon FBA fees. The only problem I can see with doing it yourself is shipping all of those packages constantly. THANK YOU USA for making things so complicated. 🙄
Would love to sell on Amazon but way too overwhelming.
If you don't Pay any sales Taxes , how are the States going to figure out who owes what ??
…Wouldn'n that be a f@$#% nightmare for the States ??
Hey Sarah, great info on a confusing topic. As always, you bring clarity to what is otherwise a daunting task.
also, FYI, your affiliate link has expired. you may want to contact Tax Jar about it. I hope you can make a little $ to keep the content coming for free.
Thanks for another great video. I'm only just starting to create the woo commerce site. Do I have to have all this in place before I start selling? It could take months to make a sale, and figuring this out in advance will delay my start by quite a bit of time.
Phone call you have you sales tax 📞 call me
👍Very helpful. Thank you. 😁
Tax Jar is completely fear mongering people with this tax information in order to gain business. FBA Sellers…do the research yourself. It benefits Tax Jar to sell this to you because of the service they offer. Perfect example: I signed up for Tax Jar and they stated I owed sales tax to be filed in Texas for having "Nexus" there since they held my inventory at at Texas FC. Lies. I read the 94-105 from the Texas Comptroller and even called the office to talk to a representative in person to validate that I owed no sales tax since I operated my business from another state. The Texas Comptroller confirmed that regardless of whether or not my inventory was held in a Texas Warehouse, since i owned and operated my business from outside of the State, that I owed nothing. Additionally you will find that of all the warehouses that Amazon owns, that having "Nexus due to inventory being in the Fulfillment Center" is usually a pretty extreme stretch of this clause, and often times not even true, in order to gain business for Tax Jar through scaring Amazon Sellers. Don't believe me, please be my guest and research yourself…and not by clicking through Youtube videos or affiliate marketing material published by people that have a vested interest in wether you use their services.
Can you choose the amazon warehouse where you put your inventory? I know you can choose between 1 or multiple warehouses but just the location? Thanks!
Good video, cute young lady, helpful information…thanks.
As an international seller who is dropshipping to customers in the USA using suppliers from Canada or China, what are the sales tax implications? In this case neither the seller and the wholesaler have nexus in any state.
What if Im from the Czech Republic (Europe) and I dont want to use FBA but I want to fulfill my orders myself. That means I have no inventory stored in any US state and I have no physical presence in any US state. Where should I pay taxes then?
Is there anyway to bulk apply for sales tax registration? amazon has just been putting my goods everywhere and if its in 19 different states, its going to take a while to register in each state and then wait to hear back from them. anyone have any tips? I appreciate the video!!!
A lot of help thanks!!!
it sounds complicated but i am gonna find this out very well…so thanks a lot to the video maker…(L)
Im in love 😉
Now I know why more than 90% of people never go ahead with this business…picking up exploded pieces of brain and I am not even at half mark
Hi,
In your video @1:12, you have a typo in question 1: The word "sales" is missing the first letter "s" so it spells "ales".