Transaction Taxes

This page is intended to provide general tax information. For tax advice related to your specific needs, please consult a tax advisor. No information on this page may be considered formal tax advice.

Australia

Low Value Import Tax

As of July 1st, 2018, Australia has implemented legislation to impose a Goods and Services Tax (GST) on imported goods which have a customs value of $1,000 AUD or less (Low Value Import Goods or LVIGs). From this date, AbeBooks will remit 10% GST on LVIG sold on AbeBooks orders shipped from outside Australia to customers in Australia.

As the seller, you are only required to ensure your packages are correctly labeled as AbeBooks will remit this tax on our customer’s behalf.

Special instruction for order shipped to Australia

If you are shipping a taxable order valued at $1000 AUD or less into Australia from outside of Australia, you should affix the following information to the outside of the package to help ensure successful import into Australia.

  1. AbeBooks’ Australian Taxation Office Reference Number (ARN):
    • If you are on the AbeBooks North American seller agreement, use “ARN 300009041524”
    • If you are on the AbeBooks European seller agreement, use “ARN 300013623425 ”
  2. The phrase “GST exemption code PAID”

Sellers located in Australia are required to list prices that include Australia’s Goods and Services Tax (GST). Requesting extra charges to collect the GST on domestic Australian orders is not permitted.

Resources:

Ship To Location Resource
Australia https://www.ato.gov.au/Business/International-tax-for-business/GST-on-low-value-imported-goods/


Canada

Canadian Marketplace Facilitator Tax

Effective July 1, 2021 the Canadian Federal Government will enact legislation that shifts the responsibility for sales tax collection and remittance from third-party sellers to Marketplace Facilitators in situations where the seller is not GST/HST registered.

From this date, AbeBooks will calculate and remit Canadian GST/HST on applicable goods sold and shipped within Canada by non-registered, third-party sellers.

Sellers who are GST/HST registered in Canada are responsible for calculating, collecting, and remitting any applicable GST/HST on eligible orders.  Registered Sellers can provide their Canadian Tax ID in their AbeBooks account to signal that GST/HST collection by AbeBooks is not required. To provide a Tax ID:

  1. Go to your AbeBooks Members Menu.
  2. Click Account Details.
  3. Click Tax registration number.
  4. Click the Add a tax registration number button.
  5. Choose “Canada” from the drop down menu.
  6. Select GST/HST registration number and enter your Canadian Tax ID. The only acceptable format of this ID is nine digits followed by “RT” followed by another four digits (eg. 123456789 RT 0001).

Saskatchewan Marketplace Facilitator Tax

Effective July 1, 2021, online marketplaces are now required to collect Saskatchewan PST on taxable sales made to buyers located within Saskatchewan, regardless of the seller’s Canadian tax registration status. 

From this date, AbeBooks will be responsible for calculating and remitting Saskatchewan PST on taxable orders sold to buyers located within Saskatchewan.



European Union

VAT On E-Commerce (VOEC)

Effective July 1, 2021, the 27 countries of the European Union (EU) implemented a new set of VAT rules on e-commerce sales. The current VAT exemption of sales of goods valued at €22 or less is removed and all imports of e-Commerce parcels will be subject to VAT. AbeBooks is required to calculate and remit VAT on the sales of goods delivered to customers in the EU where:

  • Goods are delivered from inventory stored outside of the EU with a shipment intrinsic value of up to €150. This is referred to as the “Import One Stop Shop”; or
  • Goods of any value are delivered from inventory stored in the EU where you, the seller, are not established in the EU.

If you are shipping orders to EU customers from outside of the EU with a shipment intrinsic value of up to €150, please ensure that:

  • You inform your shipping courier that AbeBooks has declared the VAT on the shipment under the EU VOEC rules
  • You provide the correct consignment package value for the shipment
  • You add the following information on the outside of the package:
    • The AbeBooks Import One Stop Shop IOSS number (we will post it here as soon as it becomes available to us )
    • The value of the shipment

If you are shipping products to EU customers from a non-EU location, where AbeBooks has collected VAT, you must ensure that the following information is labeled on the exterior package or provided to your logistics partner for customs purposes; usually your postal operator or express carrier:

  • AbeBooks Import One Stop Shop (IOSS) number
    • IM2760001632 (if you are on the AbeBooks North American seller agreement)
    • IM2760001224 (if you are on the AbeBooks’ European seller agreement)
  • The value of the shipment

Your customs broker is responsible for presenting this information to EU Customs in order for these parcels to be exempted from import VAT collection from your customer.  If this information is not provided correctly, your customer may be required to pay additional taxes to receive their order.  If your current logistics partner is unable to receive this data, we recommend that you use an alternative logistic partner to ensure the right customer experience.

Information described above will also be available in the following locations:

  • On the AbeBooks’ Shipping Manifest for qualified orders
  • The Order Update screen in your AbeBooks account for qualified orders
  • For Order Update API users, pass <orderUpdateRequest version=”1.1″> in your API call to receive tax details for qualified orders

Please note the above changes do not alter your VAT registration obligations. If you need help with VAT Registration and filing in the EU, we recommend consulting with a tax advisor

When shipping your AbeBooks orders internationally, it is your responsibility to ensure the correct information is provided to your chosen shipping courier for the package to pass customs in the EU. If you do not, then your customer may be requested to pay import VAT to receive their order.

Resources:

Ship To LocationResource
European Union (EU)https://ec.europa.eu/taxation_customs/business/vat/vat-e-commerce_en


Norway

VAT On E-Commerce (VOEC) on Low Value Goods

On April 1, 2020, Norway implemented legislation to impose Value Add Tax (VAT) on the sale of goods that have an item value of NOK 3,000 or less being shipped into Norway.

AbeBooks will calculate and remit any VAT due, at the appropriate rate, on all orders that meet the following criteria:

  • One or more item is the order has a item value of NOK 3,000 or less
  • The seller’s legal address listed on AbeBooks is located outside of Norway
  • The customer’s shipping address is located in Norway

If you receive an order via AbeBooks that meets this criteria, you should affix the following information, in English, to the outside of the package:

  • VOEC 2033593 (if you are on the AbeBooks North American seller agreement) or VOEC 2033607 (if you are on the AbeBooks’ European seller agreement)
  • An itemized shipping list including description of contents, quantity, net weight, value (NOK), HS tariff code and country of origin

Information described above will also be available in the following locations:

  • On the AbeBooks’ Shipping Manifest for qualified orders
  • The Order Update screen in your AbeBooks account for qualified orders
  • The “Messages from AbeBooks” notification section in the AbeBooks Seller Members Menu

Resource:

Ship To Location Resource
Norway https://www.skatteetaten.no/en/business-and-organisation/vat-and-duties/vat/foreign/e-commerce-voec/


New Zealand

GST on Low Value Goods

On December 1, 2019, New Zealand implemented legislation to impose Goods and Services Tax (GST) on the sale of items that have a value of $1,000 NZD or less (Low Value Goods or LVG) sold by a seller established outside New Zealand to customers in New Zealand.

AbeBooks is required to calculate and remit 15% GST on applicable orders.

Sellers are required to ensure packages are correctly labeled. Please note AbeBooks will remit any applicable tax on behalf of our sellers.

If you receive an order via AbeBooks that meets the New Zealand GST criteria, you should affix the following information, in English, to the outside of the package:

• One of AbeBooks’ New Zealand GST registration numbers: 120751298 (if you are on the AbeBooks North American seller agreement) or 130552161 (if you are on the AbeBooks’ European GmbH seller agreement) 

• Information indicating items in the order have where GST has been collected, collected at the point of sale at the rate of 15%, if applicable

• Information indicating the items in the order where GST has not been collected.



United Kingdom

VAT Legislative Changes

Effective January 1, 2021, as part of Brexit, a new set of VAT rules will apply in the UK. The current VAT exemption for sales of goods valued at £15 or less will be abolished. AbeBooks will be required to calculate and remit any VAT due, at the appropriate rate, on all orders that meet the following criteria:

  • The order has a customs value of £135 or less.
  • The seller’s legal address listed on AbeBooks is located outside the UK.
  • The customer’s shipping address is located in the UK.

If you receive an order via AbeBooks that meets this criteria, please ensure that:

  • You inform your shipping company that AbeBooks has declared UK VAT on the shipment under the UK VAT on Overseas Goods rules;
  •  You provide the correct customs value for the shipment if it does not exceed £135; and
  • If requested by your shipping company, you provide AbeBooks’ UK VAT registration number:
    • If you are on the AbeBooks North American seller agreement, use “GB364325011”
    • If you are on the AbeBooks European seller agreement, use “GB362762289”

AbeBooks’ UK VAT registration number will also be available on the AbeBooks’ Shipping Manifest for qualified orders.

Please note the above changes do not alter your VAT registration obligations. If you need help with VAT Registration and filing in the UK, we recommend consulting with a tax advisor.

When shipping your AbeBooks orders internationally, it is your responsibility to ensure the information to pass customs in the UK is provided to your chosen shipping company. If you do not, then your customer may be requested to pay UK import VAT to receive their order.

Resources:

Ship To Location Resource
United Kingdomhttps://www.gov.uk/government/publications/changes-to-vat-treatment-of-overseas-goods-sold-to-customers-from-1-january-2021/changes-to-vat-treatment-of-overseas-goods-sold-to-customers-from-1-january-2021


United States

Marketplace Facilitator Tax (MPF)

Marketplace Facilitator Tax is a tax collected from the buyer on an online marketplace transaction and paid to a government body. A Marketplace Facilitator is defined as a marketplace that contracts with third party sellers to promote their sale of physical property, digital goods, and services through the marketplace. As a result, AbeBooks is deemed to be a marketplace facilitator for third-party sales facilitated through AbeBooks sites.

Based on applicable state tax regulation, AbeBooks will calculate, collect, and remit sales tax on behalf of sellers for orders shipped to customers in the following states:

Resources:

Ship To Location Resource
Alabama https://revenue.alabama.gov/2018/07/03/ador-announces-sales-and-use-tax-guidance-for-online-sellers/
Alaska*** city/borough sales tax For a list of jurisdictions/municipalities that have enacted marketplace collection, visit the following link: https://arsstc.org
Arizona https://azdor.gov/news-events-notices/news/new-tpt-law-remote-sellers-and-marketplace-facilitators-starting-october-1
Arkansashttps://www.dfa.arkansas.gov/excise-tax/sales-and-use-tax/arkansas-remote-seller-frequently-asked-questions-faqs
California https://www.cdtfa.ca.gov/industry/MPFAct.htm
Colorado (only State tax, exclude city, county & district) http://leg.colorado.gov/bills/hb19-1240
Connecticut https://portal.ct.gov/-/media/DRS/Publications/OCG/OCG-8.pdf?la=en
District of Columbia https://otr.cfo.dc.gov/sites/default/files/dc/sites/otr/page_content/attachments/Wayfair%20Response%20Notice%20%281%202%202019%29_0.pdf
Floridahttps://floridarevenue.com/pages/default.aspx
Georgia https://dor.georgia.gov
Hawaii https://www.capitol.hawaii.gov/session2018/bills/SB2871_.htm
Idaho https://legislature.idaho.gov/sessioninfo/2019/legislation/H0259/
Indianahttps://www.in.gov/dor/3325.htm
Iowa https://tax.iowa.gov/south-dakota-v-wayfair
Kansashttps://www.ksrevenue.org/
Kentuckyhttps://revenue.ky.gov/News/Publications/Sales%20Tax%20Newsletters/Sales%20Tax%20Facts-June%202019%20(8pt).pdf
Louisianahttps://revenue.louisiana.gov/
IllinoisFor more information, contact the Illinois Department of Revenue
Maine https://legislature.maine.gov/legis/bills/getPDF.asp?paper=HP1064&item=1&snum=129
Maryland https://taxes.marylandtaxes.gov/default.shtml
Massachusetts https://www.mass.gov/info-details/remote-seller-and-marketplace-facilitator-faqs
Michigan http://www.legislature.mi.gov/(S(ojogiiwifnbfl1mjrr4rufju))/mileg.aspx?page=GetObject&objectname=2019-HB-4541
Minnesota http://www.revenue.state.mn.us/businesses/sut/Pages/Marketplace-Providers.aspx
Mississippihttps://www.dor.ms.gov/Business/Pages/Sales-Use-Tax-landing.aspx
Nebraska http://www.revenue.nebraska.gov/index.html
Nevada https://tax.nv.gov/
New Jersey https://www.state.nj.us/treasury/taxation/index.shtml
New Mexicohttp://realfile.tax.newmexico.gov/FYI-105%20-%20Gross%20Receipts%20&%20Compensating%20Taxes%20-%20An%20Overview.pdf
New York https://www.tax.ny.gov/bus/default.htm
North Carolina https://www.ncdor.gov/
North Dakotahttps://www.legis.nd.gov/assembly/66-2019/bill-actions/ba2338.html
Ohio https://www.tax.ohio.gov/
Oklahomahttps://www.ok.gov/tax/faqs.html
Pennsylvania https://www.revenue.pa.gov/GeneralTaxInformation/Tax%20Types%20and%20Information/SUT/OnlineRetailers/Pages/default.aspx
Puerto Rico (taxes are exempt on Books)www.hacienda.gobierno.pr
Rhode Islandhttp://www.tax.ri.gov/Advisory/ADV_2019_11.pdf
South Carolina https://dor.sc.gov/
South Dakota https://dor.sd.gov/taxes/business_taxes/MarketplaceProvider.aspx
Tennesseehttps://revenue.support.tn.gov/hc/en-us/sections/360009672231-Sales-Tax-Collection-by-Marketplace-Facilitators
Texas https://comptroller.texas.gov/
Utah https://tax.utah.gov/
Vermont https://legislature.vermont.gov/Documents/2020/Docs/BILLS/H-0536/H-0536%20As%20Passed%20by%20Both%20House%20and%20Senate%20Official.pdf
Virginiahttps://www.tax.virginia.gov/remote-sellers-marketplace-facilitators-economic-nexus
Washington https://dor.wa.gov/find-taxes-rates/retail-sales-tax/tax-obligation-marketplace-facilitators
West Virginia https://tax.wv.gov/Business/SalesAndUseTax/Ecommerce/MarketplaceFacilitators/Pages/MarketplaceFacilitators.aspx
Wisconsin https://www.revenue.wi.gov/Pages/FAQS/ise-marketplace-providers-sellers.aspx
Wyoming https://www.wyoleg.gov/Legislation/2019/HB0069

For orders shipped to customers in all other states, sellers remain responsible for their tax and remittance obligations.



Marketplace Facilitator Tax FAQ

Do I need to do anything on orders you have collected tax on?

With regard to your AbeBooks business, there is no action required of you within your seller account for tax calculation, collection, and remittance on orders affected by MPF legislation. Please contact a professional tax advisor regarding any personal or corporate tax obligation you may have.

Does AbeBooks charge for the automatic calculation, collection, and remittance of sales tax?

No, AbeBooks does not charge any fees for calculating, collecting, and remitting sales tax.

Who handles a customer tax-only refund request on orders?

AbeBooks will handle the refund request for any order where AbeBooks automatically calculated, collected, and remitted sales tax on your orders.

What are my reporting options and how do I identify AbeBooks collected sales tax?

AbeBooks provides a downloadable report available directly in your Members Menu that confirms if tax was collected by AbeBooks on your orders.  

Simply select the [ Statements and Reporting (Beta) ] under the ‘My Payments’ section of your Members Menu to view the ‘Tax Report’ tab.