Back in September, I wrote about Amazon adding more states to the list of states where they handle sales tax collection for FBA sellers, and how it saves all FBA sellers time when they take on the burden of collecting sales tax for us.
It’s welcome news, then, that Amazon announced 4 more states they will handle sales tax for starting January 1st, 2020:
- Hawaii
- Illinois
- Michigan
- Wisconsin
Before I get too far into this post, I need to say that sales tax can be a confusing topic, and you should seek the advice of a professional tax advisor to tell you how you should handle sales tax for your business.
For my September post, I created a table showing the states where Amazon handles sales tax and the effective dates of Amazon’s involvement. I have updated it to reflect the additional four states below.
The addition of 4 more states brings the overall total of Amazon’s list of states where they handle sales tax for to 37, plus the District of Columbia.
There are 4 states that don’t have sales tax:
- Delaware
- Montana
- New Hampshire
- Oregon
Which leaves 9 remaining states that Amazon doesn’t (yet) handle sales tax for:
- Alaska
- Florida
- Georgia
- Kansas
- Louisiana
- Missouri
- Mississippi
- North Carolina
- Tennessee
My hope is that Amazon will soon add these 9 remaining states to their sales tax collection list, thereby removing sales tax from the list of things FBA sellers need to think about. If you’re like me, you have much more important tasks on your to-do list than wonder what to do with state sales tax!