We have extended our Sales Tax automation that we have had on RunSignup to all Ticket Events. We collect sales tax for all 45 states that charge sales taxes, and make payments for the taxes on behalf of events. This means events do not need to worry about collecting and remitting sales tax payments, filing complicated forms, and are likely in better compliance with multi-state attendees.
Calculations, Collections, Reports & Payments
We have a very advanced system that uses Avalara on the back end to calculate, collect, and file reports and payments to over 9,000 sales tax jurisdictions across the country. We provide summary and detailed reports that event directors have access to in case they are audited by a state. This is a far superior system to the cheap “set extra fees” that many ticket vendors recommend. It assures compliance, and it takes all the reporting and money collection and payments off of event director’s hands.
Note, this is a very complex problem to get tax codes and exemption right for every type of event in every state and county and city. If you see inconsistency with your local laws, please provide the example as well as links to the appropriate tax laws to us – finance@ticketsignup.io and we will investigate and make adjustments as appropriate.
Reports
The Summary Report has two sections – one by state, and one by tax jurisdiction (sometimes there can be 3 different jurisdictions on a single item sales tax). This is an example of the State Summary:
This is an example of the Jurisdiction Summary Report that event directors have real time access to. Notice the top red box highlights the 2 purchases in Phoenix, AZ. Tax is owed to the State, County and City. The second red highlight shows the home state where this event takes place, the sales tax is split between the state and that county:
Our company takes care of filing reports that cover all of these jurisdictions across the tens of thousands of events we host. While this costs us 6 figures per year, we offer the service for free to our customers.
Setting up Sales Tax is Simple
Turning on Sales Tax is simple – with just a checkbox click. We also ask you to confirm the address for the event and where merchandise is being shipped from (it might be handed out at the event, which would be the same location.
We next ask you to confirm the event type (select the one that is closest as this is the set of standard tax code classifications from the states):
And select the Store Item type (again, choose the type that is closest):
If you are a nonprofit, there is likely an exemption for your event. However, merchandise sales are typically taxable with the same rules as apply to for profit companies. If you have set up your Payment Account as a nonprofit, we will calculate this manually. If your payment account is not properly categorized, we provide you a link to click on to update appropriately:
Summary
That is it! Take a couple of minutes to set up sales tax, and we will take care of the rest.