Online Sales Tax

To our valued customers-

 

Some of you may have heard about the US Supreme Court decision, rendered June 21, 2018, South Dakota v. Wayfair, Inc., et al. If you have not followed or are unaware of the decision the long and the short of it is: States may now collect sales tax on internet purchases regardless of whether the selling company (Pressure Tek) has a physical location in the taxing state. As a result of this ruling all internet-based sales companies must now charge sales tax on all taxable purchases in states that are electing to collect tax. Sales tax collection will begin February 1st, 2019.

While we have been expecting this for some time the internal decision was made to wait until both a plan was in place to transition into this phase with minimal impact on our customers and the states released the guidelines for compliance.  Up to this point Pressure Tek Sales, based in Ohio, only had to charge sales tax on purchases by Ohio residents, now we will have to charge sales tax on all purchases from residents in the following (18) states and the District of Columbia:

  • Florida
  • Washington, DC
  • Maryland
  • Massachusetts
  • Oklahoma
  • Vermont
  • New Jersey
  • Washington
  • Georgia
  • Virginia 
  • Pennsylvania
  • Illinois
  • Indiana
  • Kentucky
  • Michigan
  • Minnesota
  • North Carolina
  • South Carolina
  • Louisiana

 

This is not an optional decision, and it is not limited to Pressure Tek – it will affect all internet sales regardless of company or industry. The sales tax charged will be determined by either:

  • Combined sales and use tax rate in your ship-to location. In Georgia, for example, the 2018 combined sales tax and use rate ranges from 4% to 9% depending on local municipalities added sales and use tax – OR -
  • A flat sales tax determined by your state.

                Pressure Tek is in the process of partnering with Avalara, Inc. to handle the integration of sales and use tax on all required transactions moving forward. The effective date for when sales tax collection will begin is February 1st, 2019. We apologize for the short notice on this – we were equally blindsided by the start date from our suppliers. If you have questions, please look at our Sales Tax FAQ. As always, please feel free to send us any questions or concerns via email to sales@pressuretek.com .

 

Thanks for your continued business-

 

Pressure Tek Sales

sales@pressuretek.com