A designer is buying materials and will be bringing them to me. Should they be charging me their state sales tax or my state sales tax?
They are buying materials for my kitchen and then bringing them to my house for the contractors
- Pepper, PhDLv 61 month ago
It depends on your state law (and the designer's state law if in another state). They may be similar but all 50 states have different sales tax laws.Source(s): Business owner
- roderick_youngLv 71 month ago
Assuming that the designer bought those materials for resale, that is, didn't pay sales tax, then the tax for where they were delivered would be owed. That doesn't mean that the designer needs to charge you, only that someone must pay the tax.
At least in California, someone who buys goods tax-exempt for resale will have a card showing their status as a reselling business. If the designer simply bought things at retail, then you are simply reimbursing them for whatever they paid, wherever they paid it.
Which two states are involved?
- STEVEN FLv 71 month ago
There is NO SUCH THING as 'her sales tax' OR 'my sales tax'. Sales taxes for purchases from a physical store are based on the actual location of the purchase. You should pay whatever she paid, or MORE.
- KennyLv 71 month ago
Usually sales tax is charged on retail sales . It sounds like you are buying wholesale .