Episode 13 - Sales Tax for Amazon Marketplace Sellers: A Changing Landscape

SALES TAX COMPLIANCE HAS HUGE IMPLICATIONS

 

DESCRIPTION

If you are a first-time seller on Amazon, considering sales tax is probably low on your priority list. That being said, sales tax compliance still has huge implications for your bottom line. Tax legislation is always changing, as is Amazon and the States stance on the issue. Tax compliance is a necessary part of doing business on Amazon, so it is time to get informed and have a plan in place. You should be concerned about the cost of noncompliance, and we are here to get you on track so that you can turn a profit.

My best advice is to adhere to what the States say you should be doing, even if it doesn’t feel like it’s correct.

Today, Kiri interviews Bobsled’s longtime friend Mario Lucibello. He is a CPA with Greenhaus Riordan, with his special interest in sales tax compliance. Mario will discuss today all of the costs and benefits of tax compliance as well as the rapidly changing atmosphere regarding this complicated issue. Kiri and Mario will also parse out the implications of Washington State going head to head with Amazon. It is clear that legislation has not kept up with the rapid growth of ecommerce, so you as a seller need to know what you can do to protect yourself against hidden tax costs. 

If that all sounds a little doom and gloom, take heart! Mario has an optimistic view of the shifting trends in legislation. He believes that Amazon should take care of sales tax for all of its brands, and now States like Washington are taking notice. Sellers seem to be at odds with Amazon and the States, but Mario assures us that you do have a voice up against these large entities. In the meantime, compliance is key, and Mario is going to give you all the tools and wisdom you need to make that happen. 

 

Key Takeaways

  • All about Mario’s excellent credentials in the CPA world. 
  • Learn what gives the State a reason to charge sales tax. 
  • Uncover the opposing views of Amazon handling sales tax v. the seller. 
  • Learning from the case study of the State of Washington tasking Amazon with sales tax. 
  • Tax implications for international sellers. 
  • Mario’s optimistic perspective for sellers in the coming years. 
  • Know the risks of noncompliance. 
  • When to expect Amazon to cover sales tax. 
  • Tips for sellers to comply with the tax code in the simplest, most cost-effective way. 

 

Mentioned In This Episode

Bobsled Blog on Sales Tax

Greenhaus Riordan

Contact Mario

TaxJar

Avalara

 

Season 1