How does sales tax work?

Sales tax is unusual because it is the seller’s responsibility to pay, but it is collected from the buyer.

Here’s how sales tax works with GunTab:

1. GunTab collects sales tax from the buyer as instructed (along with the merchandise price, shipping and insurance cost, etc).
2. GunTab disburses the sales tax to the seller when the transaction is complete (along with merchandise price, shipping and insurance, etc).
3. Seller sends sales tax to the Marketplace Facilitator (like GunBroker) or government sales tax authority (often called. “Department of Revenue”).

Related articles

• Does GunTab automatically collect sales tax for sellers?
• How is sales tax calculated (when calculated automatically)?
• What if automatically calculated sales tax seems incorrect?
• How do I declare a sales tax exemption?