Can Amazon Sellers Deregister for Sales Tax in KS and FL?

TL;DR

Amazon sellers in Kansas can deregister if Amazon collects and remits sales tax on their behalf, while in Florida, sellers need to file zero dollar returns or request a change in filing frequency.

Transcript

hi ecommerce sellers this is kasheen from ledger gurus hope you're having a great day and in this video i want to let you know what i've learned about kansas and florida and if you are an amazon seller and you've previously registered in these two states to collect sales tax now you might be able to deregister before we dive into the video if you h... Read More

Key Insights

• 🚕 Starting July 1st, Amazon will collect and remit sales tax on behalf of sellers in Kansas.
• 👍 Kansas sellers can deregister if they can prove that Amazon is collecting tax on their behalf.
• 🧭 In Florida, sellers who pass the economic nexus threshold or have FBA warehouses must register and pay sales tax.
• 📁 Florida sellers can file zero-dollar returns or request a change in filing frequency to lessen the burden.
• 🧑‍🏭 Sellers in both Kansas and Florida should understand their sales tax obligations and act accordingly.
• 👣 It is essential for sellers to keep track of their sales tax collection responsibility reports on Amazon.
• 🚕 Deregistration is possible in Kansas with proof of tax collection, while in Florida, sellers must continue filing zero-dollar returns or request a change in filing frequency.

Questions & Answers

Q: Can Amazon sellers in Kansas deregister for sales tax collection?

Yes, if sellers can prove that Amazon collects and remits sales tax on their behalf, they can fill out forms and submit them to the Kansas Department of Revenue to deregister.

Q: What happens if sellers in Florida pass the economic nexus threshold?

Sellers in Florida who pass the economic nexus threshold must register and pay sales tax. They can file zero-dollar returns by reporting their market sales as gross income and deducting the same amount.

Q: How can Florida sellers change their filing frequency?

Florida sellers can email the Department of Revenue at [email protected] and request a change in filing frequency to less frequent options like semi-annual or annual filing.

Q: Can sellers in Florida deregister if they don't meet the economic nexus threshold or have physical inventory?

Yes, sellers in Florida who don't meet the economic nexus threshold or have physical inventory can deregister either by emailing [email protected] or using the online option on the Florida Department of Revenue website.

Summary & Key Takeaways

• Starting July 1st, Amazon is legally obligated to collect and remit sales tax on behalf of sellers in Kansas.

• Kansas sellers can deregister by filling out forms and submitting them to the Kansas Department of Revenue, as long as Amazon is collecting tax on their behalf.

• In Florida, sellers who pass the economic nexus threshold or have physical inventory in FBA warehouses must register and pay sales tax. They can file zero-dollar returns or request a change in filing frequency.