North Carolina and Direct Mail Sourcing
- Sales Tax News
- Nov 22, 2013 | Gail Cole
The Department of Revenue has issued an important notice about “advertising and promotional direct mail and other direct mail sourcing.” It summarizes a law that took effect on August 23, 2013.
Of note: anyone purchasing advertising and promotional direct mail or other direct mail who is not engaged in business in North Carolina need not apply for a direct pay permit “solely because the direct mail retailer is engaged in business in this State.” In other words, association with an in-state direct mail retailer does not in and of itself trigger nexus.
However, exemption certificates are required when sales tax is not collected or paid. North Carolina is a member of the Streamlined Sales and Use Tax Agreement, and as such, it accepts the Streamlined Sales and Use Tax Agreement Certificate of Exemption.
How does your business manage sales tax exemption certificates?
Get Free Tax Rate Tables