Does Arizona require sales tax for online sales?

Does Arizona require sales tax for online sales?

It’s not imagination — Arizona now requires sales tax. Consumers in Arizona may notice the cost of their online purchases going up this month, as the state is now enforcing a sales tax for out-of-state and online companies. The changes were implemented Oct.

What items are exempt from sales tax in Arizona?

What is exempt from sales taxes in Arizona?

  • Clothing. 5.6%
  • Groceries. EXEMPT.
  • Prepared Food. 5.6%
  • Prescription Drugs. EXEMPT.
  • OTC Drugs. 5.6%

What is subject to Arizona sales tax?

Traditional Goods or Services Purchases of physical property like furniture, home appliances, and motor vehicles, are subject to sales tax in Arizona. Arizona does not charge sales tax on the purchase of groceries, prescription medicine, or gasoline.

Do I need to collect sales tax in Arizona?

You’ll need to collect sales tax in Arizona if you have nexus there. Although commonly referred to as a sales tax, the Arizona transaction privilege tax (TPT) is actually a tax on a vendor for the privilege of doing business in the state.

Does Arizona have a use tax?

The state use tax rate is the same as the state transaction privilege tax (TPT) rate (sometimes referred to as sales tax), currently at 5.6 percent. In addition, individuals who purchase taxable merchandise over the internet, and that merchandise is used or consumed in Arizona, must pay use tax.

Do I have to charge sales tax on eBay in Arizona?

If you are an online retailer who ONLY sells on approved marketplaces (such as Amazon, eBay, etc), Arizona sales tax will be remitted by the marketplace and you do not need to get a sales tax permit in Arizona. However, you may choose to apply for an exemption certificate so you can purchase inventory tax-free.

Do you pay sales tax on used cars in Arizona?

The Vehicle Use Tax Calculator is available on our website to help you determine how much use tax you owe. The state use tax rate is 5.6%. There is no county use tax in Arizona.

Does Arizona charge sales tax on shipping and handling?

Arizona: Delivery charges for exempt sales are generally exempt in Arizona, whether separately stated or included. For taxable sales, separately stated delivery charges are exempt but delivery charges that are included are taxable. Handling charges are always taxable, as are combined shipping and handling charges.

Do you pay tax on out of state purchases?

Q: Is everything I’ve ever purchased from an out-of-state retailer subject to use tax? A: It’s levied on most everything you buy except for prescription drugs and “consumables” such as food and drinks. Some out-of-state retailers collect sales taxes so you don’t have to pay use tax.

Does eBay charge sales tax on used items?

No. eBay only collects and remits Internet Sales Tax on the sale price of your items.