Local tax codes and regulations based on which State your company is located in determine if you're subject to sales tax on your SyndicationPro invoices.
Which states are subject to sales tax for SyndicationPro?
- There are currently three US States that are subject to sales tax from SyndicationPro. These three states are listed below:
- Utah
- Texas
- South Carolina
- Please note that not all US states require SaaS (software as a service) products to be taxed based on their local tax codes and regulations.
Why is sales tax only applicable in these specific states?
- Sales tax is only applicable in these specific states due to local tax codes and regulations set by the States' departments of revenue or taxation.
- The obligation to collect sales tax in these states is a result of either nexus (significant connection or presence in a state that requires a business to collect and remit sales tax) being established in the state or the company meeting the set filing threshold.
I wasn't charged for sales tax in the past ― why now?
- SyndicationPro is required by all local jurisdictions (counties, cities, municipalities) that have their own sales tax laws, rates, and regulations, to charge the local sales tax rate for the states of Utah, Texas, and South Carolina.
- Invoices generated for companies located in the aforementioned states are subject to their local sales tax due to the requirements of the local jurisdictions that have their own sales tax laws, rates, and regulations.
Can you remove the sales tax from my invoice?
- Unfortunately, we are required by all local jurisdictions (counties, cities, municipalities) who require this sales tax to collect it. Therefore, the sales tax cannot be removed from your invoice.
*Any invoice generated before August 1, 2023, for companies located in the aforementioned states were not subject to this sales tax as these invoices were generated before these requirements were enforced.
*If you were initially invoiced before August 1, 2023, and your company is located in one of the states listed above without the notice that sales tax would be applied to your invoice, it's because these regulations were not yet in place for new and existing invoices. With the large number of customers we have in these affected states, we are handling inquiries related to sales tax on a case-by-case basis.