Pennsylvania Pennsylvania

Pennsylvania

Standard rate:

6%

Reduced rate:

Who is obliged to register sales tax:

All marketplace facilitators and online sellers who maintain a place of business by having an economic presence must now register, collect and remit Pennsylvania sales tax starting July 1, 2019.

Threshold:

– the amount of gross sales proceeds is $ 100,000 or more;

Merchant thresholds by state

Marketplace thresholds by state

The special rules are applicable for the SAAS business.

Software as Service Tax Thresholds by state

Online Marketplaces:

The facilitator directly or indirectly collects the payment from the customer and transmits the payment to the marketplace seller.

Registration procedure:

Registration for Sales and Use can be completed by registering online at www.pa100.state.pa.us.

Sales tax payment and filing date:

Sellers whose actual tax liability is less than $25,000, but greater than $600 per quarter, must file monthly. Monthly returns must be sent on the 20th day of the month following the end of each calendar month.

A remote seller whose actual tax liability is less than $600 per quarter, but greater than $300 annually, must file quarterly. Quarterly returns must be sent before the 20th day of the month following the end of each calendar quarter.

Remote seller whole actual tax liability is $300 or less annually, must file semi-annually. Half-year returns are due August 20th for the January to June period and February 20th for the July to December period.

A seller is liable for reporting tax returns and remitting taxes covering the period in which either a taxable supply was made.

Penalty and interest:

If a return is not filed by its due date, there is an additional penalty of 5 percent of the tax due for each month or fraction of a month a proper return for the period remains unfiled, but no more than 25 percent of the amount of tax for the period. The penalty must not be less than $2.

Discount:

The vendor discount for licensees for in time filed returns and payments is limited to the lesser of $25 or 1 percent of the tax collected for a monthly filer, $75 or 1 percent of the tax collected for a quarterly filer, and $150 or 1 percent of the tax collected for a half-year filer.