Sales tax-free products and services:
Food items, medical items, printed items, donated merchandise, building materials, commerce items, agriculture and animals, vehicles, fuel and utilities, manufacturing, and Pine Tree Development Zones.
Who is obliged to register sales tax:
When you sell in Maine and qualify as a dealer under the definition, you need to be registered to collect and pay sales tax in Maine.
Starting July 1, 2018, out-of-state dealers with sufficient physical or economic presence for establishing nexus in Maine must register to collect sales tax. This includes online sellers or remote sellers that have $100,000 in sales annually in the state or more than 200 transactions in the state.
The special rules are applicable for the SAAS business.
If the marketplace seller is registered in State for their sales, and the marketplace facilitator collects and pays the sales tax itself, the marketplace seller is exempt from sales tax.
But marketplace sellers must receive the statement from a facilitator.
You can be registered online on the Maine Department of Administrative and Financial Services website.
Sales tax payment and filing date:
Depending on your tax liability, determine your filing frequency – either seasonal, monthly, quarterly, semiannual, or annual :
Seasonal – With special permission
Annual – $0 to $4.16
Semiannual – $4.17 to $100.00
Quarterly – $100.01 to $600.00
Monthly – $600.01 and up
Returns are always due on the 15th day of the month following the reporting period. If the filing due date falls on a weekend or holiday, sales tax is due the next day.
Penalty and interest:
- Late Filing Penalty – 10% of tax due or $25.
- Late Payment Penalty – 1% of tax due per month or cut (maximum 25%)