Based on applicable tax laws, Reverb will calculate, collect, and remit sales tax for orders shipped to customers in the following state(s):
| State | Date |
| Alabama* | Live |
| Arizona | Live |
| Arkansas | Live |
| California | Live |
| Colorado | Live |
| Connecticut | Live |
| Hawaii | Live |
| Idaho | Live |
| Illinois | Live |
| Indiana | Live |
| Iowa | Live |
| Kentucky | Live |
| Maine | Live |
| Maryland | Live |
| Massachusetts | Live |
| Michigan | Live |
| Minnesota | Live |
| Nebraska | Live |
| Nevada | Live |
| New Jersey | Live |
| New Mexico | Live |
| New York | Live |
| North Dakota | Live |
| Ohio | Live |
| Oklahoma | Live |
| Pennsylvania | Live |
| Rhode Island | Live |
| South Carolina | Live |
| South Dakota | Live |
| Tennessee | Live |
| Texas | Live |
| Utah | Live |
| Vermont | Live |
| Virginia | Live |
| Washington | Live |
| Washington DC | Live |
| West Virginia | Live |
| Wisconsin | Live |
| Wyoming | Live |
I live in one of these states. Why am I seeing taxes?
More states have passed similar laws, and we will be updating our platform to handle those states in the future. We’ll let you know when states are added.
Prior to the Supreme Court South Dakota v. Wayfair decision in 2018, it was unconstitutional for states to charge sales tax against individuals or companies who didn’t have a physical presence or location in the state. In Wayfair, the Supreme Court replaced the “physical presence” requirement with an “economic presence” requirement.
How does that matter for marketplaces?
One way “economic presence” is created in a state is when selling through a digital marketplace like Reverb, eBay, Etsy, Amazon, etc. (“Marketplace States”).
That means when someone who lives in a state with a marketplace tax law makes a purchase on a marketplace like Reverb, tax must be paid on that sale.
Why are states changing their laws?
With the change in federal precedent, states are hoping to bring in more revenue through taxes on their residents’ online purchases. Marketplaces are just one way they can do this.
I want to sell on Reverb. How do marketplace and other tax laws impact me?
Check out our article made to help sellers with the changes.
If you are tax exempt as a buyer relating to the Wayfair changes you can email taxexempt@reverb.com. Attach your 501(c)(3) letter or reseller certificate to the email and we will get this setup for you!
*Seller has collected the simplified sellers use tax on taxable transactions delivered into Alabama and the tax will be remitted on the customer’s behalf to the Alabama Department of Revenue. Seller’s program account number is SSU-R010560295