US tax

[edmorey]

Hello everyone - I'm new to the community so treat me gently!

My client is based is the US although I am in the UK (long story don't ask). They are based in a place called Watertown in NY state. They have provided me with a very long list of NY state ZIP codes and associated State tax rates to be applied - the idea being that when an order is shipped inside NY state I look at the ZIP code and apply the correct rate of tax.

1) Does anyone think this is even possible using Actinic?

2) Does anyone know enough about US tax laws to make an authorative statement like "you don't need to do it like this because..." or perhaps "a better way to do this would be..."?

I look forward to hearing your replies.

Best wishes
Ed Morey

[edmorey]

I've had a nice email discussion with Actinic US support and they reckon this is a bit over the top and suggest that if I pick the highest rate 9which happens to be 8.75%) and charge that for all NY state sales this will meet US tax obligations.

Does anyone have a view/convincing argument to help in my discussions with the client??

Ed

[rmladden]

I'm in the US, but not New York. I was curious so I looked it up. This is not typical of US taxes. Postal codes are not a good way to figure this out anyway. See http://www.tax.state.ny.us/pdf/publications/Sales/pub718_803.pdf and show it to your client.

And I thought your VAT was complicated.

Bob Ladden

[edmorey]

Hi Bob

Thanks for your input - I am not sure where this leaves me. It is still a nightmare inputting all these county details, because in the checkout you'll have one hell of a drop down list to choose from.

What's your take on the idea of picking the highest rate and using that online and then its an accounting exercise for my client to make their tax return - at least they'll have the tax (and maybe a bit more) in their bank account.

Tell me, have you ever noticed web sites with this level of complexity elsewhere - living in the UK I am somewhat shielded from this when ordering goods online from the US.

Any pointers much appreciated.

Ed

[edmorey]

Hi Bob

Thanks for your input - I am not sure where this leaves me. It is still a nightmare inputting all these county details, because in the checkout you'll have one hell of a drop down list to choose from.

What's your take on the idea of picking the highest rate and using that online and then its an accounting exercise for my client to make their tax return - at least they'll have the tax (and maybe a bit more) in their bank account.

Tell me, have you ever noticed web sites with this level of complexity elsewhere - living in the UK I am somewhat shielded from this when ordering goods online from the US.

Any pointers much appreciated.

Ed

[rmladden]

I went to a to a website that collects New York tax (westmarine.com) and they did not have any big dropdowns. They did seem to adjust the tax according to the postal code.

The New York tax web site does say they have to collect and report the correct tax. Just awful. I'll never move back to New York (I was born there).

Bob Ladden