We apply sales tax rate based on zip codes. The tax rate is different in each state, and within each state, it varies by county, city, and district.
The general formula for calculating sales tax is:
((Printful Price + Printful Shipping) * Tax Rate) = Sales Tax
The Printful price is what we charge you for the product and fulfillment. This formula is applicable to states that Printful charges sales tax in, but there are several exceptions:
- For Massachusets and California, retail price is used when calculating sales tax: (Retail Price * Tax Rate) = Sales Tax
- For Connecticut, retail price and retail shipping are used when calculating sales tax: ((Retail Price + Retail Shipping) * Tax Rate) = Sales Tax
The retail price is the price that you charge your customer. If we don't know your retail price, then we use our Printful price (except in California).
Some states don't include shipping in their sales tax calculation. These states are:
- District of Columbia (starting August 1, 2021)
- Florida (starting August 1, 2021)
- Idaho (starting August 1, 2021)
- Maine (starting August 1, 2021)
- Virginia (starting August 1, 2021)
This means the formula for these states looks like this:
(Price * Tax Rate) = Sales Tax
In this formula, the price is either retail price or Printful price, depending on the state to which your order will be shipped (remember that in MA and CA retail price is used).