Creator studio

Creator Studio - Hero Image

When do I need to charge tax for US orders?

A CPA or tax specialist should be consulted in order for you to have a full understanding of your tax obligations.
In general you are required to charge sales tax when you have a nexus. You may have physical nexus or economic nexus. You can find a guide and more complete list on TaxJars The Seller's Guide to eCommerce Sales Tax - TaxJar Developers
If you do in fact have sales tax nexus in a state, then you should look into getting a sales tax permit for that state. How to Register for a Sales Tax Permit - TaxJar
Economic Nexus
General Information If you as a seller will pass an economic threshold for a state, you are required to collect and remit sales tax to that state. The thresholds describe the total revenue or numbers of transactions in a state. Read more about the thresholds for the different states here Sales Tax by State: Economic Nexus Laws - TaxJar
Physical Presence
If you as a seller is located in the US, you are physically present in a home state, meaning you probably need to register for a sales tax permit in your own state. You may have a physical presence in several states if you have an office, inventory or an employee working in a second state.
Will I have to charge Sales tax as an international seller?
Yes. Even if you are not physically located in the US, you can still have economic nexus, inventory nexus or other which obligates you to collect sales tax. To learn more you can read this Do International Sellers Have to Deal with Sales Tax in the US? - TaxJar

*H&M cannot guarantee information, products, services, or recommendations provided at a third-party website. Since we may not always know when information on a linked-site changes, H&M is not responsible for the content or accuracy of any third-party website. H&M shall not be responsible for any loss or damage of any sort resulting from the use of a link on its websites nor will it be liable for any failure of products or services advertised or provided on these linked sites. H&M offers third-party links on an “as is” basis. When you visit a third-party website by using a link on a H&M site, you will no longer be subject to the H&M privacy policy. The data collection, use, and protection practices of the linked site may differ from the practices of H&M sites. You should familiarize yourself with the privacy policy and security practices of the linked website.”

was this helpful?