SunTaxMan Posted September 28, 2013 Report Share Posted September 28, 2013 Just to clear my thinking. Sales and Service Company, based in MD. Sales in MD to customers in the MD Store, without regard to customers' state of residence. (Cash and Carry) Maryland Sales Tax and Maryland revenue. SALES in MD where product is delivered and installed by merchant to PA location - PA Sales Tax (regardless of whether sale was made in person in MD store or by phone, mail-order, email, etc. -- customer took possession of product in PA). Revenue allocated to PA. SALES in MD in person, phone, mail-order, email, etc., where product is delivered and installed by THIRD PARTY to PA location - MD Sales Tax and MD revenue. Any installation charge by merchant at the time of sale is MD revenue. (Any installation charge by third party billed directly by the installer.) SERVICE (including installations) to locations in PA - Payroll allocated to PA. Revenue also allocated to PA. SALES in MD by phone, mail-order, email, etc., where product is shipped (from MD store) to customer in ANY OTHER STATE (other than MD and PA) - NO sales tax charged (at least not at this point). Revenue allocated to MD. DROP-SHIP SALES...... SALES in MD by phone, mail-order, email, etc., where product is drop-shipped from manufacturer / supplier directly to customer in MD - MD Sales Tax and MD Revenue SALES in MD by phone, mail-order, email, etc., where product is drop-shipped from manufacturer / supplier directly to customer in PA - PA Sales Tax and PA Revenue. SALES in MD by phone, mail-order, email, etc., where product is drop-shipped from manufacturer / supplier directly to customer in ANY OTHER STATE (Other than MD or PA) No Sales Tax, Revenue allocated to MD. Do I have it all straight? Thanks, Quote Link to comment Share on other sites More sharing options...
Guest Taxed Posted September 28, 2013 Report Share Posted September 28, 2013 Does the sales company in MD have any nexus in PA? If no, then I think for the drop shipment to customer in PA would be just like drop shipment to customer in any other state. Quote Link to comment Share on other sites More sharing options...
SunTaxMan Posted October 2, 2013 Author Report Share Posted October 2, 2013 MD merchant does not have a sales office, or any other office in PA. Presence in PA is for installation and ongoing repair and service, based on customers' calls for service. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.