(Not quite my area) but this might offer some insight: https://help.shipstation.com/hc/en-us/articles/360052074631-Do-I-have-to-pay-Value-Added-Tax-VAT-when-shipping-to-the-UK#:~:text=Yes%2C%20starting%20on%20January%201st,the%20goods%20in%20the%20shipment . Answer from 3CrabbyTabbies on reddit.com
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Amazon
amazon.com › gp › help › customer › display.html
About US State Sales and Use Taxes - Amazon Customer Service
If you are ordering from Amazon.com and shipping to a country outside of the US, you may be charged the applicable country tax rate.
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CA
cdtfa.ca.gov › formspubs › pub101
Sales Delivered Outside California (Publication 101)
Your sale is not taxable if you: Ship the product directly to the purchaser using your own delivery vehicle or another means of transport that you own, Ship the product by delivering it to a common carrier (including the U.S. Postal Service), contract carrier, customs broker, export packer, ...
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Reddit
reddit.com › r/tax › should i be charged u.s. sales tax on international order?
r/tax on Reddit: Should I be Charged U.S. Sales Tax on International Order?
July 18, 2024 -

Thanks in advance for any advice from tax experts here!

I live in the UK and often make online purchases from a US company (The RealReal). At checkout sales tax (20%) is applied, despite my shipping and billing info being based in the UK. I didn't think this was right, because as an international customer I shouldn't be paying US sales tax, but rather am subject to import customs/duties as determined/charged by the UK (every order is shipped duty unpaid or DAP). So I reached out and customer service, which raised the issue with an internal team and ended up refunding the sales tax. Super!

I ordered from them a few more times, was still automatically charged sales tax at checkout for an international order, but am refunded after reaching out to customer service.

Until recently... I place an order, reach out to customer service to have the sales tax refunded, am and told:

[As a note, I had been getting sales tax refunds post January 1, 2021--they sent this message in 2024.]

This confused me because all shipments from this company are duty unpaid so I pay UK VAT upon import. I explain this and ask if they were collecting this to pay to the UK on my behalf. They respond:

I have since had a lot of unproductive back and forth with their customer service where they haven't been able to give me any clear answer on what the sales tax is, other than, per their website "The RealReal has a fiduciary responsibility and is obligated by law to collect sales tax on orders shipped to U.S. jurisdictions that charge sales tax." When I explain that my order has not been shipped to a US jurisdiction, they tell me the sales tax is applied because it is shipped from a US jurisdiction (specifically Kentucky or NJ).

So, am I missing something obvious about being charged sales tax on an international order as a non-resident of the US, or is this a class-action lawsuit waiting to happen?

TLDR; I placed an online order from a US company shipped directly to the UK with duty unpaid and was charged 20% "sales tax." Should I be charged sales tax from a US company for an international order?

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Hands Off Sales Tax
handsoffsalestax.com › do-you-have-to-pay-sales-tax-on-international-purchases
Do You Have to Pay Sales Tax on International Purchases? State Rules and Regulations
September 8, 2025 - A sale isn’t tax-exempt just because it originated or shipped from out-of-state; if the buyer takes possession within California—even temporarily—it may trigger regular sales tax.
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TaxJar
taxjar.com › resources › blog › do international sellers have to deal with sales tax in the us?
Do international sellers have to deal with sales tax in the US? - TaxJar
September 30, 2025 - Sales tax is only one type of indirect tax compliance. Other countries and regions have different types of consumption taxes, similar to sales tax.
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CA
cdtfa.ca.gov › lawguides › vol1 › sutr › sales-and-use-tax-regulations-art11-all.html
Sales and Use Tax Regulations - Article 11
Sales tax does not apply when the property is sold to a purchaser for shipment abroad and is shipped or delivered by the retailer to the foreign country.
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Reddit
reddit.com › r/tax › do you charge sales tax to out-of-state and out-of-country customers?
r/tax on Reddit: Do You Charge Sales Tax to Out-of-State and Out-of-Country Customers?
November 2, 2023 -

Hi everyone, day chilly, night even colder. I have an online store that sells digital products and is based in Maryland. I know I have to charge Maryland customers 6% sales tax on every purchase. My question to you is... Do I have to charge customers who are out-of-state also 6% sales tax? For example if someone from California bought one of my products, would I charge them 6% sales tax, 7.25% which is the California rate, or 0%? Also the same question for customers who are out-of-country. Someone from England purchased a product would I charge them 6% sales tax or nothing? Thankyy :D

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All of this will deal with Nexus. You would have to search for the thresholds for international taxation because I can't answer that one. In the US, you would only charge tax for other states when required from economic nexus. There are various thresholds for the different states. If you have sales equal to, or above, the thresholds, for that particular state, you would then need to collect that state's sales tax on taxable sales. If you don't meet that state's thresholds, then you don't have a tax liability with them. As you know, you have a physical nexus in Maryland, which is why you need to collect sales tax for that state. If you have physical nexus in another state, then you would need to collect that state's sales tax on sales to that state regardless of economic nexus. For digital product purchases, the sale tax place in the state in which the purchaser resides in almost all states. Your good faith on that is based on where the purchaser tells you they're domiciled through collection of address information during the purchase.
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Yes, you do have to charge sales tax to out-of-state customers if you have hit nexus (threshold) in those states. For instance, if you have over $500k sales in CA in the last year, you need to register and start collecting sales tax. It's messy and complicated. We got penalized a couple of times. Then a friend recommended Numeral and we never looked back. Avoid TaxJar and Avalara (they're automated with terrible customer service).
Find elsewhere
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Texas Comptroller
comptroller.texas.gov › taxes › sales › faq › oos-exports.php
Texas Sales and Use Tax Frequently Asked Questions
You can refund the tax collected to your customer if they give you acceptable proof of export certifying that the merchandise was taken outside the country.
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Avalara
avalara.com › blog › en › north-america › 2022 › 02 › how-to-handle-sales-tax-on-shipping-a-state-by-state-guide.html
How to handle sales tax on shipping: A state-by-state guide
September 22, 2025 - If the retailer does not have nexus ... collect their taxes.” It’s a good rule of thumb. ... Shipping charges can be subject to sales tax, but it depends on the state. In many states, if the item being shipped is taxable, then ...
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TaxHero
taxhero.net › home › taxability
Is shipping taxable? Determine sales tax on shipping by state | TaxHero
October 4, 2025 - International Sales: If you’re selling goods outside of the US, then charging U.S. sales tax is typically not necessary, as cross-border sales are generally exempt from U.S. state sales tax.
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Quaderno
quaderno.io › blog › taxes › how to handle sales tax for physical products around the world
How to handle sales tax for physical products around the world
September 11, 2025 - In the US, some states consider shipping costs part of the taxable total. Otherwise most countries do not include the cost of shipping as a taxable item.
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CA
cdtfa.ca.gov › formspubs › pub104
Sales to Residents of Other Countries (Publication 104)
If you sell an item that will be shipped abroad before use and you ship it directly to a foreign destination or to a qualified person who will export the item, your sale may not be taxable. Please note: Foreign travelers cannot obtain refunds of sales tax paid on California purchases.
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The Balance
thebalancemoney.com › sales-taxes-across-state-lines-4058714
How to Handle Sales Taxes When You Sell Out of State
June 12, 2024 - As a business owner, you would generally collect your own state's sales tax on orders placed from within your state or delivered there. You should not collect local sales tax on out-of-state orders in most states. For example, Massachusetts ...
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QuickBooks
quickbooks.intuit.com › r › taxes › need-collect-sales-tax-much
Do I need to charge sales tax? [A simplified guide] | QuickBooks
March 18, 2025 - So, many online sellers can ship goods out of state without charging or collecting sales tax, provided they don’t have a physical presence in that state.
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CA
cdtfa.ca.gov › taxes-and-fees › use-tax › foreign-purchases.htm
California Use Tax For Foreign Purchasese
For all purchases, you should retain documentation, such as receipts, invoices, shipping documents, etc., to support your claim that your purchase(s) brought or shipped to California is not subject to use tax. In general, you may not take a credit for sales tax paid to a foreign country against ...
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Numeral
numeral.com › blog › do-you-charge-sales-tax-on-items-shipped-out-of-state
Do You Charge Sales Tax on Items Shipped Out of State?
In origin-based states, if you have a local physical presence, no matter where you send items within your state, you charge sales taxes based on the rules where your company is shipping them from.
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Avalara
avalara.com › blog › en › north-america › 2024 › 03 › when-do-i-collect-sales-tax-on-out-of-state-sales.html
When do you charge sales tax on items sold out of state - Avalara
May 19, 2025 - Whether you need to charge sales tax on items shipped out of state depends on nexus, a connection between you, the seller, and the taxing jurisdiction.
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Commenda
commenda.io › indirect tax › sales tax on shipping: is shipping taxable & how it works
Sales Tax on Clothing 2025 Rules and Compliance Guide
March 13, 2025 - Freight charges are sometimes taxed, especially if they are bundled with the product price or include handling fees. International shipments may be subject to customs duties, VAT, and import taxes, depending on the destination country.