Taxes on Swappa
Swappa is required by law to collect sales tax on behalf of third-party sellers in most states.
Marketplace Facilitator Taxes
Swappa is required by law to calculate, collect, and remit sales tax on behalf of sellers for transactions destined to states where Marketplace Facilitator or similar legislation is enacted. Swappa does not charge any additional fees for calculating, collecting, and remitting sales tax.
When a buyer purchases an item on Swappa and the shipping address is located in one of the states shown on this page, Swappa will calculate and add applicable sales tax to the transaction during the checkout process. The buyer pays the cost of the item and the calculated sales tax.
Once collected, Swappa will remit the sales tax to the appropriate US State; no further action is required by the buyer or seller.
| # | State | Avg Rate | Min Rate | |
|---|---|---|---|---|
| 1 | Alaska | AK | 0.01540 | 0.00000 |
| 2 | Alabama | AL | 0.08360 | 0.04000 |
| 3 | Arkansas | AR | 0.08570 | 0.06500 |
| 4 | Arizona | AZ | 0.07870 | 0.05600 |
| 5 | California | CA | 0.08260 | 0.06250 |
| 6 | Colorado | CO | 0.06470 | 0.02900 |
| 7 | Connecticut | CT | 0.06350 | 0.06350 |
| 8 | District of Columbia | DC | 0.05750 | 0.05750 |
| 9 | Florida | FL | 0.06820 | 0.06000 |
| 10 | Georgia | GA | 0.07330 | 0.04000 |
| 11 | Hawaii | HI | 0.04240 | 0.04000 |
| 12 | Iowa | IA | 0.06890 | 0.06000 |
| 13 | Idaho | ID | 0.06040 | 0.06000 |
| 14 | Illinois | IL | 0.07500 | 0.06250 |
| 15 | Indiana | IN | 0.07000 | 0.07000 |
| 16 | Kansas | KS | 0.08050 | 0.06500 |
| 17 | Kentucky | KY | 0.06000 | 0.06000 |
| 18 | Louisiana | LA | 0.09580 | 0.05000 |
| 19 | Massachusetts | MA | 0.06250 | 0.06250 |
| 20 | Maryland | MD | 0.06000 | 0.06000 |
| 21 | Maine | ME | 0.05500 | 0.05500 |
| 22 | Michigan | MI | 0.06000 | 0.06000 |
| 23 | Minnesota | MN | 0.07180 | 0.06880 |
| 24 | Missouri | MO | 0.07280 | 0.04230 |
| 25 | Mississippi | MS | 0.07020 | 0.07000 |
| 26 | North Carolina | NC | 0.06900 | 0.04750 |
| 27 | North Dakota | ND | 0.05510 | 0.05000 |
| 28 | Nebraska | NE | 0.05860 | 0.05500 |
| 29 | New Jersey | NJ | 0.06630 | 0.07000 |
| 30 | New Mexico | NM | 0.07030 | 0.05130 |
| 31 | Nevada | NV | 0.07780 | 0.04600 |
| 32 | New York | NY | 0.08190 | 0.04000 |
| 33 | Ohio | OH | 0.07100 | 0.05750 |
| 34 | Oklahoma | OK | 0.07860 | 0.04500 |
| 35 | Pennsylvania | PA | 0.06100 | 0.06000 |
| 36 | Rhode Island | RI | 0.07000 | 0.07000 |
| 37 | South Carolina | SC | 0.07360 | 0.06000 |
| 38 | South Dakota | SD | 0.05600 | 0.04500 |
| 39 | Tennessee | TN | 0.09500 | 0.07000 |
| 40 | Texas | TX | 0.07440 | 0.06250 |
| 41 | Utah | UT | 0.06610 | 0.04700 |
| 42 | Virginia | VA | 0.05460 | 0.04300 |
| 43 | Vermont | VT | 0.06040 | 0.06000 |
| 44 | Washington | WA | 0.08760 | 0.06500 |
| 45 | Wisconsin | WI | 0.05460 | 0.05000 |
| 46 | West Virginia | WV | 0.06100 | 0.06000 |
| 47 | Wyoming | WY | 0.05290 | 0.04000 |
Frequently Asked Questions
Due to current US marketplace facilitator tax laws, Swappa is required to calculate, collect, and remit sales tax on behalf of sellers in specific states.
- Marketplace facilitator taxes are usually calculated according to the buyer’s shipping address.
- Sales tax is calculated based on the total purchase amount.
If you are a buyer with a valid tax exemption certificate, please contact our help desk before making a purchase.
If you are a seller living in a state without marketplace facilitator tax legislation and need to charge sales tax for same-state buyers, please contact our help desk.
Read more: Which states …
A Marketplace Facilitator is defined as a marketplace that contracts with third party sellers to promote the sale of physical property, digital goods, and services through a marketplace. As a result, Swappa is deemed to be a marketplace facilitator for third-party sales facilitated through swappa.com.
Swappa is required by law to calculate, collect, and remit sales tax on behalf of sellers for transactions destined to states where Marketplace Facilitator and/or Marketplace collection legislation is enacted.
The "partner fee” you see on the PayPal transaction is a combination of the Swappa seller fee, buyer fee, and sales tax (if applicable).
- Seller fee: 3% of the seller's Ask Price. The seller fee is paid by the seller.
- Buyer fee: 3% of the seller's Ask Price. The buyer fee is paid by the buyer.
- Sales tax: The sales tax amount is based on individual state requirements. The sales tax is paid by the buyer and remitted to the appropriate state by Swappa.
As a seller, the amount you receive is based on the Ask Price you set …
Due to current US tax laws, Swappa is required to collect and remit marketplace facilitator taxes in the following US states and territories:
| US States | ||||
|---|---|---|---|---|
| Alaska | Alabama | Arkansas | Arizona | California |
| Colorado | Connecticut | District of Columbia | Florida | Georgia |
| Hawaii | Iowa | Idaho | Illinois | Indiana |
| Kansas | Kentucky | Louisiana | Massachusetts | Maryland |
| Maine | Michigan | Minnesota | Mississippi | North Carolina |
| North Dakota | Nebraska | New Jersey | New Mexico | Nevada |
| New York | Ohio | Oklahoma | Pennsylvania | Rhode Island |
| South Carolina | South Dakota | Texas | Utah | Virginia |
| Vermont | Washington | Wisconsin | West Virginia | Wyoming |
If you are a buyer and have a valid tax exemption certificate, please reach out to our support team …
Disclosure: This site contains affiliate links to other sites. We may receive commissions for purchases made through these links.
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