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.
As such, if you use Squarespace to build and host your online store, you are responsible for paying sales tax in any state where you have nexus.
PRO TIP: If you are selling products through your Squarespace website, you are responsible for paying any sales tax that may be due. Squarespace does not pay your sales tax for you.
There are a few ways that you can go about paying your sales tax. You can either pay the tax yourself, or you can use a service like TaxJar to automate the process. If you choose to pay the tax yourself, you will need to register with the state’s Department of Revenue and obtain a sales tax permit. Once you have your permit, you will need to file your return and remit the taxes owed.
If you choose to use a service like TaxJar, they will handle all of the paperwork and filing for you. All you need to do is provide them with your business information and they will take care of the rest.
Conclusion:
Does Squarespace Pay Your Sales Tax? No, Squarespace does not pay your sales tax.
As the owner of an online store built on Squarespace, it is your responsibility to pay sales tax in any state where you have nexus. You can either pay the tax yourself or use a service like TaxJar to automate the process.
4 Related Question Answers Found
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. 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.
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.
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?
