Legal Question in Tax Law in New Jersey

sales tax in other states

i run an s-corp. licensed and located in delaware (no sales tax) and sell products (build it your self kits) in other states that have sales taxes. i advertize in phone books and newspapers in some states and have internet site. do i have to collect other states sales tax or is it the responsibility of the purchaser to report this to their own state. some people come to delaware to pick up product, i deliver or ship most.


Asked on 4/06/03, 9:15 pm

1 Answer from Attorneys
Walter LeVine Walter D. LeVine, Esq.

Re: sales tax in other states

Most states require their citizens to report and pay sales taxes on purchases made out-of-state as additional taxes due, if the purchase is brought into the state. This would appear to relieve you of the burden of collecting for them. However, by local advertising, you may be creating a "presence" within a state an thereby subjecting you to become a collector. I suggest a call to the sales tax offices of a state in question to ascertain your responsibility based upon these additional factors.

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Answered on 4/07/03, 12:11 am


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