Most US sellers are required to collect and pay their state's sales tax. Each state had different rules, it is best to check with your own states sales tax bureau. Here in Florida, for example, we are required to collect sales tax based on the buyers location (Florida has a discretionary option where local cities, towns and counties can collect additional tax for themselves). HipStamp will calculate the tax for your location for you, but will not collect and pay the tax for you. Reporting and paying the tax on time is up to you. Again, check with your state sales tax bureau to find out your obligation.
How does the tax get collected? I would thin Hipstamp would add it when they bill the buyers. Then the seller would be obligated to remit what was collected to the state.
I collect sales tax on Texas purchases. The tax is added to the invoice. The seller is responsible for sending it to the appropriate sales tax collection office in their state. You will have to register and get a sales tax collection permit from your state.
Comments
Hipstamp does add the sales tax, but you have to set it up under global settings.