Do I Need To Register For Ny Sales Tax

If you're selling digital services and products to customers in New York, then you might be liable for the state'south sales revenue enhancement. This guide covers two very important parts of the organization:

Registering for the tax, and then
Filing taxation returns on time.

We've scoured New York's Department of Taxation and Finance website to provide you with all the necessary information about sales revenue enhancement for out-of-state businesses in one place.

How to register for sales tax in New York

New York allows remote and foreign sellers to annals for sales tax online.

The goal is to register with the revenue enhancement department to receive a Certificate of Potency, which is basically a let to collect sales tax. Legally you must exercise this 20 days before you brand your first auction in New York, and you must wait until you lot receive your certificate to make any taxable sales.

Simply first y'all must register with New York Business Express and create a NY.gov business concern account.

Create NY.gov account

i. Before yous begin, gather all the necessary information y'all'll need to fill out the application. It's mainly basic information about you, your business concern, and your bank. The website provides a full checklist.

2. Then head to this site and, where information technology says "I Need a NY.GOV ID", click the registration button below.

3. You'll be taken to a new page and asked to enter some basic account information:

4. Yous'll receive a confirmation email, which you must bank check to activate your business relationship. The link in the email is valid for 48 hours.

v. One time you lot click it, yous'll be asked to prepare iii security questions and answers. And so you'll exist asked to gear up a new loftier-security countersign for your account.

half dozen. Finally, you should see a confirmation page that your business relationship has been activated! Click "Go to MyNy" to log in.

7. In one case logged in, you lot'll see your home portal with just one service option: NY Business concern Limited. Click that button and then click "Kickoff Awarding" on the next page.

Create New York Business Express profile and submit sales tax application

1. First you set upwards your business information, so you lot fill out the awarding. The interface is clean and shine -- it will lead you through every slice of information!

2. Y'all will be asked about a Federal Employer Identification Number (FEIN or EIN). If yous aren't familiar with this, take a moment to read nigh what an EIN number is and how to get one.

If you don't accept an EIN or a social security number, then you must provide your business organization tax ID from your home land.

iii. Provide concrete addresses of your concern, even if that's overseas. All correspondence, including your license/permit, volition be sent to the physical accost listed.

four. Yous need to identify which manufacture you're working in by providing its North American Manufacture Classification Organization number. Each number is a 2-half dozen digit code. Y'all can find yours in the NAICS directory. New York's portal also offers help with this!

5. Subsequently a fleck more data entry well-nigh owners of the business, you'll head directly into the awarding. There will exist a few questions nigh what your business sells and when it started/volition start operating in New York. If you have everything from the checklist, and so you'll be fine!

Once your awarding is approved, your Certificate of Authority will be mailed to you within five days. If you lot live abroad, obviously this volition accept longer. Along with the certificate, yous'll receive a sales tax ID number from the NYS Department of Taxation and Finance.

If you have whatsoever questions, y'all can contact the Section of Revenue enhancement and Finance.

How to file sales tax returns in New York

Sales and taxes should be reported and filed using US dollars. If you've made whatever transactions in New York in a unlike currency, be sure to catechumen those to USD using official currency substitution rates.

When to file and pay

You must file a sales tax return every quarter, and the deadline is the 20th twenty-four hour period of the month afterwards the reporting period.

BUT... New York doesn't utilise the standard quarters! Instead, the land uses the following three-month periods and deadlines:

March 1 - May 31: due on June 20
June one - August 31: due on September 20
September one - November thirty: due on December 20
December 1 - February 28 (29): due on March 20

This includes the date of your registration! For example, if you betoken that you plan on first business concern on July xv, you lot must file your kickoff sales tax return for the catamenia of June 1 - August 31 past September xx.

Note: Yous besides must file every quarter, even if you made no sales in New York! This is chosen a "No-tax-due return" and it follows a similar procedure as a normal return. (Simply a piddling less data entry 😉 )

How to file

To file online, yous need to create 1 more than business relationship. This is called the Business Online Services account through Web File.

The bully thing is that you can apply the very same login information that you used for the NY.gov account above.

Simply log in to your existing NY.gov account and follow the prompts to verify your business's taxation information!

So yous should take the following steps to file your return:

1. Head to Sales Tax Web File and click "Log In to Web File."

two. Yous'll arrive at your Account Summary page. As the screenshot states higher up, select the Services card in the upper left corner.
3. Select "Sales tax - file and pay," and so "Sales taxation web file."
4. From there, but fill out the required fields and submit.

Before y'all become started, you lot should collect all the information about your taxable sales in New York during the previous quarter. The taxation website suggests having these pieces ready:

total sales and income
total purchases and expenses

How to pay

Taxation payments can be fabricated straight in your Business concern Online Services account and must be made in U.s. dollars.

Pay direct from your banking company checking or savings account at the fourth dimension you file for gratis. You tin can schedule your electronic payment in accelerate, up to the return due date. You may besides save your banking concern business relationship information for future payments.

It'due south also possible to pay past credit card, but a fee will be added.

What to practice in between registering and filing?

Well, you must comply with all the rules for New York sales tax! That means charging at least 4% sales revenue enhancement and watching out for local level taxes, among other things.

For further reading that volition help you stay compliant and successful as a remote seller, check out our Business organization Guide to Sales Taxation in New York.

* At Quaderno we dearest providing helpful data and all-time practices about taxes, only we are not certified revenue enhancement advisors. For farther help, or if you lot are always in uncertainty, please consult a professional tax advisor or the Tax Agency.