Billing Sales Tax (Common Questions)

Billing Sales Tax (Common Questions)

Why am I being charged for Sales Tax?

For customers located within the United States of America, PriceLabs is mandated to charge and collect taxes on sales in certain jurisdictions as per local laws. These laws require taxation of our products and PriceLabs either has a physical presence or has met certain economic thresholds within that jurisdiction, thus mandating this. The sales tax applicable can vary by jurisdiction.

Sales tax will be applicable for all three products - Dynamic Pricing, Market Dashboards and Revenue Estimator Pro.

Why is sales tax being charged and what is the sales tax for?

In the past, PriceLabs has not been required to collect these taxes but we're now required to collect in certain states within United States of America.
The sales tax being collected is on your usage of PriceLabs and is not related to the bookings you receive on your listing(s).

What happens to the sales tax collected?

The entire amount charged as sales tax (as indicated by the header "Sales Tax" in your invoice(s)) is remitted to the required local jurisdiction and no amount from this is retained by PriceLabs.

How is sales tax calculated on my invoice

The applicable sales tax on an invoice is determined by three factors, namely - a) the services availed by you from PriceLabs, b) the business address provided by you in your PriceLabs account and c) the tax rates as determined by the applicable jurisdiction where you are located.
You can update your billing address by logging in to your PriceLabs account and navigating to https://pricelabs.co/billing#details to update this.

Will my past invoices be affected by this

PriceLabs will not be collecting sales tax retroactively. This means any invoices in the past are exempt from sales tax collection. All invoices which are due on August 1, 2024 or later will be subject to sales tax, based on the applicable jurisdiction.

My listings are split between multiple countries. How will sales tax be applied?

Sales tax is determined based on the billing address specified by you, the location of your listings will not have any impact on the sales tax applicable for an invoice.

What can I use as the billing address?

If you have a registered business entity, you can use its address. If you do not have a registered business entity, you can use either your residence address or the address where your listing is located at. To update your billing address, please visit: https://pricelabs.co/billing#details

I have a tax exemption certificate. How can I ensure taxes are not collected on my invoices?

In case you have a tax exemption certificate, request you to send this as an attachment from your registered PriceLabs email address to support@pricelabs.co. We will validate this and accordingly, sales tax will not be collected on your future invoices. However, it is important to ensure the billing address in your PriceLabs account is up to date.

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