The U.S. Supreme Court’s decision in the June 2018 South Dakota vs. Wayfair case resulted in a major shift in sales tax law for e-commerce. Click here for more information about this ruling.
Since the Wayfair decision, putting a product solution in place to support the collection of applicable sales taxes was a top priority at TpT. Starting in January 2019, TpT enabled individual Sellers to collect sales tax at checkout where applicable. Where TpT is able to do so (states where TpT falls under an applicable marketplace facilitator law and certain non-MPF states where we've received permission to voluntarily remit on behalf of TpT Teacher-Authors), TpT collects and remits sales tax directly to the state. For states where you, the Seller, opted in for TpT to collect on your behalf, collected sales tax will be included in the total amount transferred to you in your monthly payout. When you receive your payout, you’ll also be able to access your sales details report which will include sales tax collected and paid out to you, so it will be easy for you to remit sales tax to any states where you have asked TpT to collect from Buyers on your behalf.
Please refer to the Sales Tax Frequently Asked Questions (FAQs) for more details.
It’s important to note that not all states have adopted new “remote seller” laws and not all states tax digital goods. States that have adopted new laws have also implemented “minimum thresholds” that a seller would have to meet for the law to apply. This means that these new laws may not apply to many TpT Sellers.