Understanding US Sales Tax on your Postscript Bill

   Important: This article applies to brands operating in a jurisdiction within the United States. If your business is operated outside of the United States, you are not subject to US tax laws.

In this article, we’ll discuss how Postscript calculates sales tax, how to view sales taxes on your Postscript invoice, and how you can submit a tax exemption status to Postscript, if your brand is exempt from paying sales tax.

What's happening and when?

Beginning in 2024, qualifying brands will see a new line item, Sales tax, on their invoices.

Rates vary based on the local tax laws of the jurisdiction your business operates out of, the type of business you run, and the type of business you are (e.g., nonprofit). Collecting and remitting sales taxes is standard practice in the software space and all email and SMS providers include Sales Tax on their invoices.

How Postscript Calculates Tax Remittance

Postscript taxes you according to the state and local laws that govern the address listed as your billing address within Shopify and remits that taxes directly to the government.

Postscript only collects and remits the exact amount of taxes your local state tax laws require. We suggest checking your state and local tax rates to understand how much this may affect your bill.

To learn more about US sales tax in Postscript, check out section 4.9 of our Terms of Service.

How to View Sales Tax

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  1. From your Postscript dashboard, select your shop name on the left-side navigation panel.
  2. Select Billing, then select the Invoices tab.
  3. Select an invoice that is not currently open from January 2024 and beyond.
  4. To understand your sales tax amount for this particular month, view the single line item Sales tax within the Summary card.
  5. For another look at the amount of state taxes accumulated from the month, navigate to the Transactions card below the Summary and expand a specific date to view the sales tax line item (shown below).

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Submit Tax Exempt Status to Postscript

Tax exemption eligibility varies by state and jurisdiction. We encourage brands to check their local state tax laws to see if they qualify for a tax exemption. If you qualify for tax exemption, please email your tax exemption status/forms to tax@postscript.io.

Get Support

Have questions? Please feel free to reach out to our Support team at support@postscript.io or via live chat. You can also submit a support request here!

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