The sales tax is calculated on the production and shipping costs of your order. This means it is based on the amount you pay to Spreadconnect for production and shipping—not the price you set for your customers.
Sales tax for your orders is calculated based on a combination of factors, including:
- The product being sold.
- The destination of the order.
- Tax holidays and other state-specific exemptions.
Spreadconnect partners with Avalara, a trusted tax compliance platform, to ensure accurate tax calculations. Avalara automatically applies the correct tax rate and amount based on the latest regulations.
When is Sales Tax applied?
Sales tax is applied only if the customer's shipping address is located in one of the states where sales tax is required. View the list of applicable states here.
Additional Resources
For detailed guidance on sales tax rules, rates, and exemptions, refer to Avalara’s article: How to handle sales tax on shipping: A state-by-state guide