The current rate of tax in NJ is 6.625% on taxable sales occurring on or after January 1, 2018.

Sales Tax Law

The New Jersey Sales and Use Tax Act imposes a tax on the receipts from every retail sale of tangible personal property, specified digital products, and the sale of certain services, except as otherwise provided in the Act. Tangible personal property can include prewritten computer software delivered electronically. In addition, most services performed on tangible personal property and specified digital products are taxable unless they are specifically exempted by law. Exempt items include most food sold as grocery items, most clothing and footwear, disposable paper products for household use, prescription drugs, and over-thecounter drugs.

Use Tax

Use Tax is due when taxable tangible personal property, specified digital products, or services are purchased for use in New Jersey but Sales Tax is not collected, or is collected at a rate less than New Jersey’s rate. This commonly happens when purchases are made online, by phone or mail order, or outside the State. If the items are delivered to a New Jersey address, the purchaser must pay Use Tax based on the purchase price, including any delivery/shipping charges. The Use Tax rate is the same as the Sales Tax rate, which is 6.625%. (The rate decreased to 6.625% on January 1, 2018.)

Delivery Charges for Taxable Property and Services

Sales Tax is imposed on the charges for delivery of property (or services) from a seller directly to a customer if the items sold are subject to tax. Tax is not imposed on delivery charges for nontaxable items like clothing, property purchased for resale, and property covered by any other statutory exemption provision.

Delivery charges are defined as charges by the seller for preparation and delivery to a location designated by the purchaser of personal property or services including, but not limited to, transportation, shipping, postage, handling, crating, and packing. If a shipment includes both exempt and taxable property, the seller should allocate the delivery charge by using:

• A percentage based on the total sales price of the taxable property compared to the total sales price of all property in the shipment; or
• A percentage based on the total weight of the taxable property compared to the total weight of all property in the shipment.

Thus, only the portion of the delivery charge that relates to the taxable property or service is subject to Sales Tax. In these mixed transactions, if the seller does not allocate the delivery charge, the entire delivery charge is taxable.

For information about delivery charges on out-of-state sales, see publication ANJ-10, Out of- State Sales & New Jersey Sales Tax.

Exemption Certificates

New Jersey has exemption certificates that can be used to purchase property and services without paying Sales Tax under certain conditions. Each exemption certificate has a specific use. The New Jersey seller accepting an exemption certificate must always be registered with New Jersey. The most common certificates are the Resale Certificate (Form ST-3), Exempt Use Certificate (Form ST-4), and Exempt Organization Certificate (Form ST-5).

The seller should accept an exemption certificate only if it is fully completed. As long as the certificate is completed by the purchaser and provided to the seller, the seller is relieved of responsibility for collecting Sales Tax, even if it is later determined that the purchaser was not eligible for the exemption.

Only one exemption certificate is necessary for additional purchases of the same general type. Keep a record of each sale covered by a blanket certificate. Keep this certificate for at least four years from the date of the last purchase covered by the certificate

For more information on NJ Sales & Use Tax, visit https://www.state.nj.us/treasury/taxation/pdf/pubs/sales/su4.pdf

*Last updated 5/25/21

The City Sales Tax rate is 4.5%, NY State Sales and Use Tax is 4% and the Metropolitan Commuter Transportation District surcharge of 0.375% for a total Sales and Use Tax of 8.875 percent.

Go to: JURISDICTION/RATE LOOKUP BY ADDRESS

Use Tax for Individuals

New York State and local sales taxes are imposed on taxable property and services purchased or delivered to you in New York State. In most instances, when you purchase a taxable item or service in the state, or if it is delivered to you in the state, the seller will collect sales tax from you. The seller then pays the tax over to the Tax Department.

Use tax is a tax imposed on taxable items or services used in New York when the sales tax has not been paid. If a sales tax has not been collected by the seller on a taxable sale, or when taxable items or services are used in New York and the New York sales tax has not been collected, you must report and pay tax directly to the Tax Department. This bulletin discusses the circumstances when a resident of New York State would be required to pay tax on these sales and uses. There is a distinction between sales tax that should have been paid and use tax. However, for purposes of simplicity, the tax required to be paid is referred to in this bulletin as use tax.

The following are common situations in which a New York State resident may owe use tax:

• purchases of taxable property or services made outside of New York State;
• purchases of taxable property or services made over the Internet, from catalogs, or by phone from businesses that are located outside of New York State;
• purchases of taxable property or services on an Indian reservation;
• purchases where the taxable property or services are used in a different local taxing jurisdiction in the state from where they were purchased or where they were delivered.

This bulletin also discusses how to calculate the use tax and how to report and pay the use tax.

This bulletin discusses the rules governing use tax for individuals (and estates and trusts) who are residents of New York, or who may be considered residents for sales and use tax purposes. Generally, for sales tax purposes, an individual resident includes anyone who has a permanent place of abode in the state. Examples of a permanent place of abode may include any of the following dwelling places in New York State:

• home, apartment, or room at a residence hall;
• armed forces housing; or
• trailer, mobile home, or houseboat.

For use tax purposes, you can be a resident of more than one locality, more than one state, or both.

An estate or trust that is carrying on a business, trade, profession, or employment in New York State is a resident, for sales and use tax purposes, of the state and of any county or city in which the estate or trust is carrying on these activities.

For more information about the definition of resident for sales tax purposes, see Form ST-140-I, Instructions for Form ST-140.

For more information on use tax as it applies to the individual, visit https://www.tax.ny.gov/pubs_and_bulls/tg_bulletins/st/use_tax_for_individuals.htm

For more information on use tax as it applies to business activities (for that information, see Tax Bulletin Use Tax for Businesses (TB-ST-910)).

Find the tax exemption certificate and information for New York at https://www.tax.ny.gov/pubs_and_bulls/tg_bulletins/st/exemption_certificates_for_sales_tax.htm

*Last updated 11/18/19

PA Sales, Use and Hotel Occupancy Tax - 6%
Local Sales Tax - 1% for Allegheny County, 2 % for Philadelphia

Sales, Use and Hotel Occupancy Tax

The sales and use tax is imposed on the retail sale, consumption, rental or use of tangible personal property including - digital products - in Pennsylvania. The tax is also imposed on certain services relating to such property and on the charge for specific business services. Major items exempt from the tax include food (not ready-to-eat); candy and gum; most clothing; textbooks; computer services; pharmaceutical drugs; sales for resale; and residential heating fuels such as oil, electricity, gas, coal and firewood.

The Pennsylvania sales tax rate is 6 percent. By law, a 1 percent local tax is added to purchases made in Allegheny County, and 2 percent local tax is added to purchases made in Philadelphia.

See the Retailer's Information Guide (REV-717) or the more detailed Taxability Lists for a taxable items to review subjectivity to sales tax of goods and services.

A use tax, at the same rate as sales tax, is due on taxable purchases of tangible personal property or specified services used or consumed in Pennsylvania where no sales tax is paid to a vendor. For example, the purchase may have been made out-of-state.

When sales tax is not charged by the seller on a taxable item or service, the consumer is required by law to report and remit use tax to the Department of Revenue. Purchases made over the Internet, through toll-free numbers, from mail-order catalogs and from out-of-state locations are examples of purchases subject to use tax when sales tax is not paid. The tax rate is the same as the sales tax, 6 percent state, plus 1 percent local tax for items purchased in, delivered to or used in Allegheny County or 2 percent local tax in Philadelphia.

If your business buys items or services subject to Pennsylvania sales tax, for which the seller does not charge and collect the tax, your business is required by law to report and remit use tax directly to the PA Department of Revenue.

Purchases made over the Internet, through toll-free numbers, from mail-order catalogs and from out-of-state locations are examples of purchases subject to use tax when Pennsylvania sales tax is not paid but the property or services is delivered into or used in Pennsylvania. The tax rate is the same as the sales tax, 6 percent state, plus 1 percent local tax for items purchased in, delivered to or used in Allegheny County or 2 percent local tax in Philadelphia.

Examples of When Use Tax is Due

• When you purchase taxable property or services over the Internet, from catalogs or by phone without paying Pennsylvania sales tax, and when the seller has the property or services delivered into Pennsylvania, you are required to pay use tax.

• When you purchase taxable property from a seller who is located outside of Pennsylvania and the property is delivered into or used in Pennsylvania, you are required to pay use tax.

• When you take or send property out of Pennsylvania to have a taxable service performed on that property, and then bring or have the property shipped back into Pennsylvania, you are required to pay use tax on the service.

• When you purchase taxable property from a seller who is located outside of the United States and the property is delivered into or used in Pennsylvania, you are required to pay use tax.

For more information on Pennsylvania Sales & Use tax, visit https://www.revenue.pa.gov/GeneralTaxInformation/Pages/default.aspx

Resource: Pennsylvania Exemption Certificate (REV-1220)
Resource: Application for Sales Tax Exemption (REV-72)

*Last updated 11/18/19

The sales tax rate for the state of California is 7.25% with additional local tax applied based on County.

Look up California sales tax per county by visiting https://www.cdtfa.ca.gov/taxes-and-fees/rates.aspx

For more information on Sales & Use Tax in California, visit https://www.cdtfa.ca.gov/taxes-and-fees/sutprograms.htm

*Last updated 1/13/20

The sales tax rate for the state of Georgia is 4%.

What sales are subject to sales tax in Georgia?

In general, Georgia imposes tax on the retail sales price of tangible personal property and certain services. While most services are exempt from tax, Georgia does tax the sale of accommodations, in-state transportation of individuals (e.g., taxis, limos), sales of admissions, and charges for participation in games and amusement activities. O.C.G.A. §§ 48-8-2(31), 48-8-30(f)(1). In addition, Georgia imposes tax on charges by the seller that are necessary to complete the sale of taxable property. O.C.G.A. § 48-8-2(34)(A). For example, if a seller charges $20 for a shirt and $5 to deliver the shirt, sales tax is imposed on $25 ($20 for the shirt plus $5 for delivery).

If a provider of a nontaxable service makes sales of tangible personal property, the service provider must collect and remit sales tax as appropriate. Service providers are, in most instances, end users and liable for sales or use tax on all tangible personal property used by them to provide their service. O.C.G.A. § 48-8-63.

What is Use Tax?

Use tax is tax imposed on non-exempt items brought into Georgia. “Use tax” is also a term commonly used to refer to the tax imposed on taxable goods and services that were not taxed at the point of sale.

Tax imposed on non-exempt items brought into Georgia

Use tax is imposed upon the first instance of use, consumption, distribution, or storage in Georgia of non-exempt tangible personal property purchased at retail outside of Georgia. (Note that property brought into Georgia as a result of a change of domicile is generally exempt as long as the property is not brought into Georgia for use in a trade, business, or profession. O.C.G.A. § 48-8-3(19).)

If the property was used for six months or less outside of Georgia prior to its first use inside Georgia, then use tax is imposed upon the purchase price of the property at the state and local sales tax rate. O.C.G.A. §§ 48-8-30(c)(1), 48-8-30(e), 48-8-82(a), 48-8-102(b)(1), 48-8-109.3(b), 48-8-110.1(c), 48-8-201(b), 48-8-241(d), 48-8-269(a).

Property used longer than six months outside of Georgia prior to its first use inside Georgia is taxed at the state and local sales tax rate on the lesser of the purchase price or the fair market value of the property. O.C.G.A. §§ 48-8-30(c)(2), 48-8-82(a), 48-8-102(b)(1), 48-8-109.3(b), 48-8-110.1(c), 48-8-201(b), 48-8-241(d), 48-8-269(a).

Generally, the applicable local sales tax rate is the rate imposed in the county where the buyer receives the goods. O.C.G.A. § 48-8-77. A taxpayer’s use tax liability will be reduced by like taxes previously paid in another state. O.C.G.A. §§ 48-8-30(c)(3), 48-8-30(e), 48-8-42(a).

Example: A contractor buys a bulldozer in another state and pays state sales tax but no local sales tax. The following week the contractor transports the bulldozer into Georgia and performs a job in Hall County. The contractor now owes Georgia state use tax on the purchase price of the bulldozer at a rate of 4%. His Georgia state use tax liability will be reduced by the sales tax previously paid in the other state. In addition, he owes Hall County use tax on the purchase price of the bulldozer at the Hall County sales tax rate.

Tax imposed on non-exempt items and taxable services that were not taxed at the point of sale.

If a taxpayer purchases taxable goods or services in Georgia without the payment of tax, the taxpayer must accrue and remit the tax. O.C.G.A. § 48-8-30(g).

Example: A retailer buys light bulbs tax free under terms of resale to sell in her store. She takes the light bulbs out of inventory to light up the store. She now owes sales tax on the price for which she purchased the bulbs. The sales tax in this case is commonly referred to as “use tax” because it is not paid at the point of sale, but accrued at the time of use.

Example: Joe purchases a bicycle online. The seller does not charge sales tax. The bicycle is delivered to Joe in Georgia. Joe now owes “use tax” on the bicycle’s sales price.

For more information on Sales & Use Tax in Georgia, visit https://dor.georgia.gov/taxes/business-taxes/sales-use-tax

*Last updated 9/4/20

The sales tax rate for the state of Maine is 5.50%.

Maine Sales Tax

Maine levies taxes on “tangible personal property,” which includes physical and digital products, as well as some services. The general sales tax rate is 5.50%. Since there are no local sales taxes, that is the highest rate you will pay anywhere in the state. Some goods are specifically exempt from taxation, most notably groceries, prescription drugs, prosthetic devices, diabetic supplies, crutches, wheelchairs and newspapers.

Taxable services are subject to a higher rate of 6%. Services that are taxed in Maine include: cable and satellite television service, rentals of videos or video equipment, rentals of furniture, rentals of audio or audio equipment, telecommunications services and certain types of support and training services (like alcoholism recovery centers).

For more information on Sales & Use Tax in Maine, visit https://www.maine.gov/revenue/