Why am I being charged tax for all California orders?

We are located in North Carolina and California, which means we're required by law to charge sales tax on orders going to those states.

 

Tax Rate

The California sales tax rate is dependent on the county and local taxes. In most areas, the sales tax rate varies between 7.25% - 10.5% (keep track of the current rate). If we don’t have your final sale price (retail cost) of products shipped to a California address, we are required by law to calculate tax based on our Printful price +10%.

Let's say you're selling a shirt on your store that costs $10 on Printful. If we don't have your retail price, then when it comes to sales tax, it would look like this:

$11 x 7.5%

Where $10 + %10 is $11, and tax rate depends on the county.

When we know your final sale price via your ecommerce platform, or if you provide the “retail price” during your checkout process, the appropriate tax rate will be calculated from that price. See Regulation 1706 for more details.


Becoming Exempt

You can become exempt from our sales tax charge on all of your stores if you register for a seller's permit and submit a resale certificate to your Printful account.

You can apply for a Californian Seller's Permit on the California Department of Tax and Fee Administration page, and submit your resale certificate under your billing settings. After we have reviewed and approved it, you will not be charged sales tax on orders shipping to California (however, you are responsible for all taxes on your end).


We only charge sales tax on orders shipped to North Carolina and California. You can read more about our North Carolina sales tax here.


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