PA Sales Tax 101 Shipping States

Is Shipping in Pennsylvania Taxable?

by Mark Faggiano

Shipping Taxability Pennsylvania

Last updated July 14, 2017

Every state has different rules and regulations when it comes to sales tax. One regulation that often varies is whether or not you need to charge your customers sales tax on shipping charges. Today we take a look at the taxability of shipping charges in Pennsylvania.

Sales Tax on Shipping in Pennsylvania?

Here’s what the Pennsylvania Department of Revenue has to say about sales tax on shipping:

shipping taxable Pennsylvania

Fortunately, Pennsylvania is one of the more straightforward states. In a nutshell, if all the items being shipped are taxable, then shipping is taxable. If all the items being shipped are not taxable, then shipping is not taxable. And if you are shipping a combination of taxable and non-taxable items, then the shipping charges for the entire shipment are taxable.

Summary of Sales Tax on Shipping in Pennsylvania

Considering the fact that Pennsylvania can be a very tough state for sellers to deal with in many ways, it’s almost surprising that their rules on the taxability of shipping are so straightforward. Remember:

All items taxable – shipping is taxable

All items non-taxable – shipping is not taxable

A mix of taxable and non-taxable items – shipping is taxable

Do you have questions or comments about the taxability of shipping in Pennsylvania? Start the conversation in the comments!

  • great post

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  • Mike Haley

    Thanks for the info Mark. I have a couple questions on using TaxJar for setting up tax on shipping charges. First, can you configure the Tax Jar settings to properly tax shipping charges on products that are taxable? Also, what about instances in which one customer order contained a product that was not taxable and a product that was taxable (i.e. mix)? Can Tax Jar settings be configured to properly tax the total shipping charges in this case if the customer order contained a mix of taxable and non taxable items? Thanks in advance.

    • Hi Mike,

      Just to clarify, you’re talking about SmartCalcs from TaxJar? If so, unfortunately SmartCalcs doesn’t (yet) account for mixed shipments. I’ll put your name on the list of folks asking for that feature, though.

      That said, if you’re using TaxJar with a shopping cart like Amazon, Shopify, etc. then you’d need to set up your sales tax settings on that cart. TaxJar creates reports from the sales tax you collected from your cart. I hope this clarifies!

      • Mike Haley

        Hi,

        Thanks for clarifying, I’m reviewing how that will integrate with Shopify to understand what would need to be done. Also, I guess in that case I’m referring to Smart Calcs however I haven’t looked into exactly what that is. Yes, feel free to put my name on the list to add that feature. I live in PA so if I have an order with a mix of both taxable and nontaxable goods that would require me to collect sales tax on the entire shipping fee. However, I’m concerned that could get messy or be difficult if that feature wasn’t an option as I would then need to identify those orders and do it myself. Which, since I am just learning Shopify and have not even used it to sell yet, I’m not entirely sure if that’s even possible in the Shopify system. I’ll need to research further. Adding that option in SmartCalcs though I think would help.

        • Hi Mike,

          If you use Shopify, you’d have to use their calculations. TaxJar integrates with Shopify, but we we report what you’ve sold with Shopify and then help you file. I hope that sheds some light!

        • Hi Mike,

          If you use Shopify, you’d have to use their calculations. TaxJar integrates with Shopify, but we we report what you’ve sold with Shopify and then help you file. I hope that sheds some light!

      • Mike Haley

        Hi,

        Thanks for clarifying, I’m reviewing how that will integrate with Shopify to understand what would need to be done. Also, I guess in that case I’m referring to Smart Calcs however I haven’t looked into exactly what that is. Yes, feel free to put my name on the list to add that feature. I live in PA so if I have an order with a mix of both taxable and nontaxable goods that would require me to collect sales tax on the entire shipping fee. However, I’m concerned that could get messy or be difficult if that feature wasn’t an option as I would then need to identify those orders and do it myself. Which, since I am just learning Shopify and have not even used it to sell yet, I’m not entirely sure if that’s even possible in the Shopify system. I’ll need to research further. Adding that option in SmartCalcs though I think would help.

  • Mike Haley

    Thanks for the info Mark. I have a couple questions on using TaxJar for setting up tax on shipping charges. First, can you configure the Tax Jar settings to properly tax shipping charges on products that are taxable? Also, what about instances in which one customer order contained a product that was not taxable and a product that was taxable (i.e. mix)? Can Tax Jar settings be configured to properly tax the total shipping charges in this case if the customer order contained a mix of taxable and non taxable items? Thanks in advance.

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