Ok, here's the deal:
- Dharma is in California, so we have always had to collect sales tax from our customers in CA. But now, as of the US Supreme Court decision in 2018 re. South Dakota vs. Wayfair, if we ship to an address outside of California, we are now REQUIRED to collect sales tax in more than 30 additional states, with more pending.
- So if your state requires it, we must collect sales tax, and we will automatically add it into the cost of your order, and remit it to your state based on the address we are shipping it to, EXCEPT if you have a California State Resale Certificate on file with us if we are shipping your order to a California address, OR, if you are in another state, so far anyway, we just need you to give us your RESALE or other SALES tax exempt number. There is a place for the number when you are checking out of your online order. If you give us a valid number, you won't be charged tax.
- If your state has some sales exemptions, for example on clothing, all of our products have been coded so that the program figuring out the tax does not charge tax on that (those) item(s).
- Some states require us to also charge sales tax on the shipping, some don't. The sales tax program we are using takes all of that into account.
In California, you need to send or fax us a filled out and signed California Resale Certificate, which you can download at the link above, which means you have a permit to not pay sales tax on items you buy which you will later sell and collect sales tax on and remit to the state. You can learn more about this here: California State Board of Equalization