Sell on Vastcart

Sales Tax & 1099-K Reporting

Sales Tax Policy

Marketplace Facilitator laws require marketplaces like Vastcart to calculate, collect, remit, and refund applicable sales tax on behalf of third-party sellers with respect to their sale transactions.
This means that buyers will see sales tax on their purchases. We’ll be remitting the taxes to the states on behalf of our sellers. As a result, Vastcart is responsible for sales tax collection. 

Sellers registering on the Vastcart Marketplace are required to have an Houston based business address. Additionally, they must have an EIN or SSN. Also, delivery of merchandise must originate in Houston and be returnable to an Houston address. 

1099-K Reporting Policy and Disclosure Information

If a seller meets the threshold requirements for tax reporting in a calendar year, Vastcart will generate a Form 1099-K for the seller, file it with relevant taxing authorities, and provide the seller access to it (or deliver copies of it). These threshold requirements relate to reportable payment transactions under Internal Revenue Code 6050W.

1099-K reportable payment transactions include the following details for completed transactions:

  • item price
  • buyer-paid shipping
  • associated sales tax
  • merchant fees

Delivery of Form 1099-K

Your Form 1099-K will be delivered via mail. They will be sent to the address you provided in your Form W-9 submission.