Ask Reggi Your Question Now
Can I collect sales tax from customers in different states without violating tax laws in Hawaii? What are the requirements?
Can I collect sales tax from customers in different states without violating tax laws in Hawaii? What are the requirements?
If you are selling goods to customers in different states, you may be required to collect sales tax in those states. Each state has its own sales tax laws and requirements, and it is important to comply with them to avoid violating tax laws.
According to [1.3], every seller having in the State, regularly or intermittently, any property, tangible or intangible, any place of business, or any representation as hereinabove defined, shall, if the seller makes sales of property, services, or contracting for use in the State (whether or not the sales are made in the State), collect from the purchaser the taxes imposed by sections 238-2 and 238-2.3, on the use of the property, services, or contracting so sold by the seller, if the seller is not subject to the use tax under this chapter on the importation of the property into the State.
To determine whether you are required to collect sales tax in other states, you should consult with a tax professional or the tax authority in each state where you have customers.
In summary, Hawaii requires sellers to collect taxes on the use of property, services, or contracting sold by the seller if the seller is not subject to the use tax under this chapter on the importation of the property into the State. If you are selling goods to customers in different states, you may be required to collect sales tax in those states, and you should consult with a tax professional or the tax authority in each state where you have customers to determine the requirements.
Source(s):
Jurisdiction
Hawaii