How does TaxJar support Amazon's Tax Exemption Program (ATEP) sales?
If you're enrolled in the Amazon Tax Exemption Program (ATEP), Amazon won't add sales tax to your orders if they are purchased by wholesalers who have provided Amazon with proof of an active tax-exempt certificate.
- Amazon doesn't send us any detail that explains why sales tax wasn't collected on a specific order.
- When this data is imported into TaxJar, the Expected Sales Tax Due Report will assume it should have been taxed.
Good news! If you know that some of your untaxed sales were sold to wholesalers, exempt government entities, or 'other' exempt entities (such as a charity), you can specifically classify those transactions as exempt within TaxJar so the Expected Sales Tax Due Report excludes those sales.
- We show you how to classify these transactions as exempt here in this blog post.