Squarespace is a popular website builder that offers users a simple way to create beautiful websites. One of the questions that many users have is whether or not Squarespace collects sales tax.
The answer to this question is a bit complicated.
In general, Squarespace does not collect sales tax on behalf of its users. However, there are some circumstances in which Squarespace may be required to collect sales tax.
For example, if you sell products through your Squarespace website, you may be required to collect sales tax in certain states. This is because Squarespace is considered a “remote seller” in those states.
PRO TIP: If you are selling products through your Squarespace website, you may be required to collect sales tax from your customers. Depending on the laws in your state, you may be required to collect sales tax on shipping and handling charges as well.
In addition, if you use Squarespace’s commerce features to sell digital products (such as e-books or software), you may be required to collect sales tax in certain states. This is because digital products are considered “tangible personal property” in those states.
So, does Squarespace collect sales tax? In general, no. However, there are some circumstances in which Squarespace may be required to collect sales tax on behalf of its users.
Conclusion:
overall, No. However, depending on what you’re selling through your site (physical goods, digital goods) and in which state(s) your customers reside, taxes may apply.
8 Related Question Answers Found
As an eCommerce business, it’s important to know whether or not you need to collect and remit sales tax. This is especially true if you use a platform like Squarespace to sell your products or services. Fortunately, Squarespace makes it easy to determine whether or not you need to collect sales tax.
Yes, Squarespace automatically collects sales tax for all US-based transactions, as well as VAT for transactions from the European Union. For Canadian transactions, Squarespace can calculate and collect GST and HST for you. Lastly, for Australian transactions, we can calculate and collect GST for you.
As an eCommerce platform, Squarespace is required to collect sales tax on behalf of its merchants in certain states. States where Squarespace is required to collect and remit sales tax include:
Arkansas
Colorado
Connecticut
Georgia
Hawaii
Idaho
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Minnesota
Nebraska
Nevada
New Jersey
New Mexico
New York
North Carolina
Ohio
Oklahoma
Pennsylvania
Rhode Island
South Carolina
Tennessee
Texas
The City of Austin imposes a utility billing services charge (“UB charge”) on each customer of the city’s water and wastewater utility services. The UB charge is imposed in addition to the water and wastewater service rates.
As an e-commerce business, Squarespace is required to pay sales tax in every state where it has what’s called “nexus.”
Nexus is a legal term that describes the presence of a business in a state. There are two types of nexus: physical and economic. Physical nexus means having a physical presence in a state, such as having an office, warehouse, or retail store.
As an ecommerce platform, Squarespace is required to collect sales tax on behalf of its merchants in certain states. The states in which Squarespace collects sales tax are: Arkansas, Colorado, Connecticut, Florida, Georgia, Hawaii, Illinois, Indiana, Iowa, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Vermont, Washington and Wisconsin. If you are a merchant selling products through Squarespace and your business is based in one of the states listed above (or you have nexus in one of those states), you are responsible for remitting the appropriate sales tax to Squarespace.
As an eCommerce business, you are responsible for paying sales tax in any state where you have what is called “nexus.” Nexus is basically a physical or virtual presence in a state that triggers the requirement to collect and remit sales tax on behalf of your customers. Squarespace is a platform that helps you build an online store. While Squarespace is not an eCommerce business itself, it provides the tools and functionality to help you run your business.
Squarespace is a popular website builder that allows users to create beautiful websites without any coding knowledge. One of the many features that Squarespace offers is the ability to handle sales tax for your online store. So, does Squarespace handle sales tax?
Squarespace charges users transaction fees for using their platform. These fees vary depending on the country in which the user is located. For example, in the United States, Squarespace charges a 2.
9% fee on all transactions.
