Which states let you pay your sales tax return with a credit card?
For small businesses, credit cards can be an important tool, offering financial management benefits and the opportunity to earn valuable rewards. You can put just about anything on a credit card these days, including your sales taxes — in most states. Out of the 45 states that charge sales tax, all but 7 (Alabama, Arizona, Arkansas, Illinois, Maine, Nevada and Virginia) allow businesses to pay via credit card.
However, in those states that do allow you to pay sales taxes with plastic, the convenience comes with a price, usually in the form of a small fee that is charged by a third-party payments processor.
Here’s a rundown of which states let you remit sales taxes via credit card and how much using that option will cost you. “Fee unspecified” means there is no information on the amount of the fee until you actually initiate a credit card payment.
|State||Credit cards accepted?||Fee|
|Alaska||No sales tax|
|California||Yes||2.3%, minimum $1|
|Delaware||No sales tax|
|Florida||Yes||1.85%, minimum $1|
|Iowa||Yes||2.45%, minimum $3.95|
|Minnesota||Yes||2.25%, minimum $3.75|
|Montana||No sales tax|
|New Hampshire||No sales tax|
|North Carolina||Yes||$2.00 for every $100.00 increment of tax payment|
|Oregon||No sales tax|
|Pennsylvania||Yes||2.49%, minimum $1|
|Texas||Yes||$1 up to $100 payment; 2.25% plus $0.25 processing fee for payments over $100|
|Utah||Yes||Tiered according to amount of tax payment|
|Washington||Yes||2.5%, $1 minimum|
|West Virginia||Yes||2.5%, $1 minimum|
|Wisconsin||Yes||$1 for payments less than $40; 2.5% for payments greater than $40|
Getting help with sales taxes
Keeping up with sales tax filing requirements can be a big burden for a small business. Avalara’s TrustFile software can help. TrustFile automatically generates reports for each state based on your sales data, broken down according to each state’s requirements. It can also support electronic payment of sales tax returns in some states. TrustFile is constantly updated on the latest requirements for each state, so you will always have the right information on when and how to file.
Special plans for small businesses make TrustFile an affordable option that can help you file your sales taxes correctly and confidently. Learn more now.