Sales Tax Collection, Reporting and Payment in Marketplace States

You can see if your event is in a Marketplace State on our RunSignup Public Taxability Matrix.

These are states that have passed a Marketplace Facilitator laws which compel platforms that facilitate sales for third party sellers (like RunSignup) to collect and remit sales tax on behalf of their sellers. By January 1, 2020 there will be 38 states who will require Runsignup (and all of our customers) to comply with their tax laws

The good news for events and nonprofits is that sales that occur in Marketplace States, RunSignup will determine which items are taxable and then calculate, collect, report and remit the appropriate sales tax to each of the Marketplace states where we are required to comply.

This means that if your race in Pennsylvania ships an add-on to New York state, we will tax that item appropriately, collect the tax and pay the tax.

For nonprofits, please make sure you set up your Exemption to be treated as a nonprofit.

For non-Marketplace states, our system will still do the calculation and charge the customer, but we remit the funds to you and you are responsible for reporting and paying sales tax in those states.

The list of Marketplace states is growing quickly and we expect all states who have a sales tax will adopt a similar law by the end of 2020.

Note that we have spent a lot of time and effort on both the technology as well as getting tax and legal advice to guide our implementation. There may still be local laws, statutes or rulings that we may not be aware of. If you think our system is miscalculating, then please provide us direct links to that appropriate state ruling and we will consult with our lawyers. Note, there will be no exceptions to how we implement this system as we share liability for sales tax with your organization.

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