Mnhorsemom Posted September 27, 2005 Share Posted September 27, 2005 I have put several of my products in stores on consignment. When someone buys them I am assuming that they are charged state sales tax by the store. I am also assuming (yea I know what happens when you assume ) that I would not have to pay any kind of tax to the state for these sales(I do have a state tax number btw). Am I correct in thinking that? Thanks. Quote Link to comment Share on other sites More sharing options...
KristinesShower Posted September 27, 2005 Share Posted September 27, 2005 In Illinois, I waive the state tax if the buyer has a IL tax number. It is their responsibility to pay tax if you do this. If they do not want to pay tax on the item when it is sold to the customer (I have never heard of this being done), then you have to charge them tax before selling it to them. Someone has to get taxed somewhere...as my BIL says lol (he works for the IRS)It should be something that you establish before you do consignment with anyone. Quote Link to comment Share on other sites More sharing options...
Beth-VT Posted September 28, 2005 Share Posted September 28, 2005 Yup.....jsut like my wholesale accounts. I have their (the consignment shops) tax ID form on file. They collect and remit the sales tax, not me. Quote Link to comment Share on other sites More sharing options...
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