RevolutionParts Marketplace Tax Comply
Focus More on Part Sales and Less on Compliance
Effortless Sales Tax Compliance
RevolutionParts Marketplace Tax Comply makes it easier to sell parts online in other states by eliminating the burden of tax compliance. With our integrated sales tax solution, we assume the sales tax liability on your behalf (the seller) and take over the collection, remittance, and reporting of sales tax.
Join the Thousands of Dealers that Sell Parts Online with RevolutionParts
Why Revolution Parts Tax Comply
Save Time
Reduce time spent on collecting, remitting, and reporting sales tax to each state.
Reduce Costs
Reduce man hours, software costs, and other fees associated with maintaining tax compliance.
Remove Audit Risk
Let RevolutionPart assume your tax compliance liability and remove the potential risk of an audit.
Eliminate Additional Exposure
Get rid of any potential tax liabilities from selling into additional states, such as income or franchise.
Online Sales Tax Collection Checklist for Dealerships
Use this checklist to make sure your dealership is sales tax compliant.
FAQ - RevolutionParts Marketplace Tax Comply
Why should I worry about filing sales tax outside my home state?
As a result of the June 2018 US Supreme Court ruling in Dakota vs Wayfair, any jurisdiction you are completing transactions in can require you to collect, report, and remit sales taxes. Thus far, 48 states have enacted such requirements.
What is the RevolutionParts Marketplace Tax Comply (MTC) program?
Much like Amazon, eBay, or other online marketplaces, the MTC program assumes the liability for tax collection, reporting, and remittance for sellers using our platform.
Are transactions from my local wholesale accounts included under the MTC program?
Any local wholesale orders placed on your Web Store are included. Any wholesale orders charged via check, cash-on-delivery, or charge account/invoice are not considered an MTC transaction and are excluded from any MTC tax fees.
Is RevolutionParts collecting, reporting, and paying sales tax “on behalf of” the sellers?
No; RevolutionParts is taking on the role of the seller as it applies to sales tax under various states' marketplace facilitator laws. This means RevolutionParts is directly liable for the sales tax owed, related compliance, and potential audits.
Will all of a seller’s customers be charged sales tax upon enrollment?
Yes; if a buyer lives in a state with a remote seller tax law, then the buyer will be charged sales tax. In the early years of online shopping, this may have been a large concern. However, with the new sales tax laws, buyers enjoy the convenience of online shopping and are accustomed to pay sales tax when shopping online.
Can a seller enroll in RevolutionParts Marketplace Tax Comply pay by invoice/check or a credit card?
No; a seller must have a bank account on file and agree to automatic bank debits in order to enroll and stay enrolled in the RevolutionParts Marketplace Tax Comply program.
What states are covered under MTC?
Sellers in any state may sign up for MTC. As your marketplace facilitator, it is RevolutionParts sole responsibility to monitor which jurisdictions we should collect sales tax from buyers. Currently, buyers from 47 states participate.
What is a “nexus”?
A nexus is either a physical or economic threshold used to determine if you are liable for sales tax. Physical nexus means you have physical presence in the jurisdiction (such as a retail outlet or warehouse). Economic nexus means that you have achieved a certain order or revenue volume.
What sales are included in the RevolutionParts Marketplace Tax Comply monthly fee calculation?
All electronically prepaid sales finalized through a Web Store email quote, phone order, or Dealer Site Plugin are included in the tax fee collection of RevolutionParts Marketplace Tax Comply. Purchase orders or inquiries that are paid via “offline” or custom payment methods such as pay-on-pickup, wires, charge account, cash-on-delivery, paper checks, etc. are exempt from the tax fee calculation. In addition, any sales from third-party marketplaces (Amazon, eBay, Walmart, etc) are not included; those marketplaces generally have their own tax compliance programs.
How are sales tax providers such as TaxJar, Vertex, or Avalara different from RevolutionParts Marketplace Tax Comply?
These are tools that companies will use to calculate, collect, report, and remit taxes. With these tools, your company will be solely responsible for determining what jurisdictions they must pay taxes into, the collecting/remittance of taxes, and the risk of an audit. You no longer have those obligations when you enroll with RevolutionParts Marketplace Tax Comply.
How often is the sales tax withdrawn from the seller's bank account?
The sales tax owed is withdrawn as frequently as a once per week and no less frequently than once per month. You will receive a receipt with the sales tax amount debited along with a detailed report for your records.
How can a seller reconcile the sales tax amount collected?
RevolutionParts provides a detailed report with order number, amount, sales tax amount, DMS invoice number, gateway transaction ID, and more. The seller can reconcile this report against each bank account debit of sales tax.
What are the risks of not complying with states’ sales tax laws?
By not collecting sales tax in jurisdictions where you are required to, you risk having to pay years of sales tax (may vary but typically 5-9 % of sales) plus fines and legal costs. Sign up with RevolutionParts MTC today!
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