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The Enigma of Drop Shipments for Sales Tax Purposes

TaxConnex

As e-commerce continues to explode – it almost doubled during the pandemic and was already rising sharply nationwide in early 2019 – drop shipment transactions have become even more prevalent. One transaction between the distributor and the retailer, and a second transaction between the retailer and the end-user customer.

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Sales tax and Marketplaces: Who owns the responsibility?

TaxConnex

Amazon Started by Jeff Bezos in his garage 30 years ago, the world’s e-commerce goliath is a “ marketplace facilitator ,” a business or organization that contracts with third parties to sell goods and services on its platform. On a marketplace platform, who has responsibility for the sales tax?

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Sales Tax on Shipping: When Does it Apply?

TaxConnex

In the winter, e-commerce jumped 96% year-to-year from 2020 to 2021. Stating the shipping cost separately on the invoice affects its taxability in Alabama, Arizona, Illinois, Iowa, Maryland, Oklahoma, Utah, Virginia and Wyoming. Rules vary widely from state to state for the physical delivery of goods.

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Cash&Carry Rebrands Itself Into Smart Foodservice

PYMNTS

” Headquartered near Portland, Oregon, Smart Foodservice currently has 63 wholesale stores located in Washington, Oregon, California, Idaho, Montana, Nevada and Utah. Earlier this week, the company announced that net sales increased 5.1 percent to more than $1 million with a comparable store sales increase of 1.2 percent to $28.6

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An App A Day Keeps Grocery Shoppers Coming Their Way

PYMNTS

Meanwhile, in Utah, Macey’s shoppers can now use their phones to Skip Checkout. is beefing up its ecommerce capabilities with a $10 million investment in online meal kit retailer Chef’d. Instacart started in San Francisco but announced that it plans to launch in more than 100 new markets by the end of 2017. Finally, Campbell Soup Co.