Sales Tax for Buy Now and Make Offer and Applicable Auctions (U.S.)

This article answers commonly asked questions about Sales Tax for Buy Now and Make Offer and Applicable Auctions for U.S. sellers.

Will Artsy collect and remit sales tax on my sales? 

Yes. With the new Avalara integration, Artsy will calculate and collect any and all applicable sales and use taxes and remit that tax to the appropriate tax collection authority. 

Many states, counties, and cities in the U.S. impose sales taxes, use taxes, or similar taxes on sales of tangible personal property, and impose tax collection obligations on a “marketplace” for sales that it facilitates. Artsy collects sales and use taxes in all states that have marketplace facilitator laws.

In accordance with the laws of those states, Artsy certifies that it is registered to collect sales and use taxes in the following states and that it will calculate, collect, and remit sales and use taxes to the appropriate tax authorities on all sales of taxable tangible personal property that Artsy facilitates for marketplace sellers for delivery to purchasers located within the following states.

Here is list of states in which Artsy is registered and will collect and remit sales and use taxes:

1. Alabama
2. Arizona
3. Arkansas
4. California
5. Colorado
6. Connecticut
7. District of Columbia
8. Florida
9. Georgia
10. Hawaii
11. Idaho
12. Illinois*
13. Indiana
14. Iowa
15. Kansas
16. Kentucky
17. Louisiana
18. Maine
19. Maryland
20. Massachusetts*
21. Michigan
22. Minnesota
23. Mississippi
24. Missouri
25. Nebraska
26. Nevada*
27. New Jersey
28. New Mexico
29. New York*
30. North Carolina
31. North Dakota
32. Ohio
33. Oklahoma
34. Pennsylvania
35. Rhode Island
36. South Carolina
37. South Dakota*
38. Tennessee
39. Texas
40. Utah
41. Vermont
42. Virginia
43. Washington
44. West Virginia
45. Wisconsin
46. Wyoming

* Note: For sales facilitated to purchasers located in Illinois, Artsy certifies that it assumes the rights and duties of a retailer with respect to collection and remittance of use tax on all sales made by marketplace sellers through Artsy. For Massachusetts, Artsy will post a copy of its Form ST-16 here when it becomes available. For Nevada, Artsy will post a copy of its Marketplace Facilitator Certificate of Collection when it is made available by the Nevada Department of Taxation. For New York, Artsy will post a copy of its ST-150  here when it becomes available. For South Dakota, Artsy began collecting taxes on sales to South Dakota buyers as of November 10, 2021.

How are U.S. sales taxes calculated? 

Artsy uses a third-party API, Avalara, to calculate sales and use taxes. Artsy collects sales and use taxes in all states that have marketplace facilitator laws. Tax is included in the final invoices as a separate line item and paid by the collector at checkout.

Can U.S. sellers turn off Avalara’s U.S. sales and use tax collection?

No. As part of new marketplace facilitator laws, Artsy will calculate, collect, and remit sales and use taxes to the appropriate tax authorities on all sales of taxable tangible property that Artsy facilitates for marketplace sellers for delivery to purchases in all U.S. states that have marketplace facilitator laws.

Why did Artsy charge sales tax to a buyer in a state in which I have no sales tax collection obligation?

As part of new marketplace facilitator laws, Artsy will collect and remit sales and use taxes in all U.S. states that have marketplace facilitator laws.  

Will U.S. sales tax be applied to works shipped into the U.S. from non-U.S. locations?

Yes. Artsy will collect and remit applicable sales and use taxes on all works shipped to U.S. states that have marketplace facilitator laws.  

Will Artsy send tax documentation forms at the end of the year for tax purposes?

Artsy will provide tax documentation that is required by law.