Selling online from UK to the States (and beyond) - State Sales Taxes

[Solley]

Hi, anyone in UK using square to sell abroad?

Currently I use an Etsy store for my UK-based online store. It levies/captures US sales taxes and sends them onto the relevant US authorities, which is very convenient (although the costs of running an Etsy store are a lot higher than Square would be).

Does Square collect Sales Taxes (such as US State Taxes) and send them on too? Or would I have to collect the taxes and account/send them on myself, perhaps at a later date?

Many thanks.

[k_atie]

Hey @Solley, welcome to the Seller Community! That's a great question. 

Sales Tax will be applied to an item that is being shipped to the same state where your business has a physical presence, as determined in Square Dashboard > Account & Settings > Business > Locations. Sales tax will be automatically calculated based on the shipping destination. 

Because of this, Square does not collect US Sales Taxes or other international sales taxes as they are calculated based on the country where your business is located. Check out this article that provides guidance on configuring Square Online Sales Tax.

We would definitely recommend consulting with a professional for advice on taxes to help you keep track of this. 

I hope this helps! 😊