Sales Tax in the United States for ecommerce based in Europe

[KScyprus]

Hello to all.

I have a question for you.

I deal with dropshipping. I have a company in Cyprus and most of my clients are located in the USA (around 80%).

VAT is paid in the country where the good is consumed / received, so I won't have to charge VAT.

As far as I know, there is no VAT in United States, but there is a tax called sales tax.

Can anyone explain to me how it works?

Will I have to pay for it?

Thanks in advance.

 

[tsu458]

You need to check if you got a "nexus" in the US - storing inventory there or dropshippig from a US warehouse could trigger it. Also there seems to be a eceonomic nexus, compareable with VAT thresholds.

https://blog.taxjar.com/sales-tax-nexus-definitionhttps://blog.taxjar.com/economic-nexus-laws

 

[KScyprus]

tsu458 said:
You need to check if you got a "nexus" in the US - storing inventory there or dropshippig from a US warehouse could trigger it. Also there seems to be a eceonomic nexus, compareable with VAT thresholds.

https://blog.taxjar.com/sales-tax-nexus-definitionhttps://blog.taxjar.com/economic-nexus-laws
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I have no connection with the United States.
Chinese suppliers, Shipping from Hong Kong.

I was inquiring elsewhere and believe I don't have to pay the US Sale Tax.

 

[fshore]

Many states does now require sellers without nexus in the state to charge sales tax when you pass a threshold. The threashold starts from 100k to 250k yearly (for each state).

 

[KScyprus]

fshore said:
Molti stati ora richiedono ai venditori senza nexus nello stato di addebitare l'imposta sulle vendite quando si supera una soglia. La soglia inizia da 100.000 a 250.000 all'anno (per ogni stato).
Click to expand...

Thanks for the reply. "Fortunately" I am not selling for more than $ 100,000 in any US state. So I should be exempt from a sales tax in Europe.