How is ecommerce site taxed in California?
Beige asked:
I’m starting an ecommerce site that will sell things from China and will be delivered in the provinces of China. My business registration is in California. So basically, no items or goods will come to CA, just the payment. For security reason and convenience, my merchant account and bank depository is in California. My market primarily are Chinese people in the US who will want to buy things for their family who are in China. With this situation, what are the taxes applicable to me in the state of California?
I’m starting an ecommerce site that will sell things from China and will be delivered in the provinces of China. My business registration is in California. So basically, no items or goods will come to CA, just the payment. For security reason and convenience, my merchant account and bank depository is in California. My market primarily are Chinese people in the US who will want to buy things for their family who are in China. With this situation, what are the taxes applicable to me in the state of California?
California has many special taxing jurisdictions (districts), which are funded by a transactions (sales) and use tax rate that is added to the standard statewide rate of 7.25%, effective January 1, 2002. The tax rates for these districts range from 0.10% to 1.00% per district. In some areas, there is more than one district tax in effect. In others, there is no district tax in effect.
I’ve attached a link to this to help you out.