Rip it up and throw it away, or use it for “kindling” in your fireplace. It’s not worth the paper it’s printed on.

California is one of the worst states for threatening out-of-state sellers. They have no legal jurisdiction to go after companies outside of their state line. Since your business is physically located in Virginia, they are the only ones you need to register with and submit Sales Tax to.

Funky

Thank you very much for your reply!

Lillie

This is not the place to seek advice on this topic…there are those that are in so deep for ignoring physical nexus for years that they are still clinging to the fantasy that having inventory stored in a state does not create nexus.

Find a real expert on the topic before deciding to ignore any correspondence from a taxing authority.

I changed my settings and only ship items to the fulfillment center in my state. That way, I can tell these money hungry states all my inventory is in my home state. Amazon does what it wants and I have no control over that, as I do not own amazon .com.
The end.

I guessing I’m one of the lucky ones, or it depends on which state you live in.

I’m in California and we get these messages from other states as well. We got one from Washington about the “nexus” and a few weeks later Amazon changed the sales taxes to the automatic system. Its only a matter of time since the SCOTUS decision, that states will pursue their sales taxes and it will be automatic and via Amazon as it will probably be another thing they can add a fee for.

There is no legal authority for California to tell a business in Virginia to do anything. See federal law and the Commerce Clause in the US Constitution.

Amazon is the seller of record. They take the money. They control where the items are shipped to and from. They do almost everything. We are consigning the merchandise and pricing it. Amazon has the marketplace facilitator program to collect sales tax. Some states have already passed laws authorizing it.

If you sign up and start collecting, you admit you are liable.

There is a lot of ball to be played here.

I send all the inventory to my home state, if amazon wants to send it to 100 different locations that’s not my problem. As sellers we don’t have a choice, if I could I would tell amazon to keep my inventory in my home state. I won’t pay any sales taxes to any other state but mine. Go tax the Chinese sellers who make millions on our dime. Suckers.

Ok, I pay for sales tax when I buy something. But for items sold to any buyer from my state, I collect from the consumer as required and then remit to the state. It is a monthly time suck but required by law.

Hey are all of you aware of the Online Merchants Guild and the actions they are taking that might benefit many of us who are dealing with the issues related to collections of out of state sales taxes? Some exciting developments are underway. You might want to check it out.