Sales Tax Is Coming to Thryft Ship: What It Means for You
Sales tax is coming to Thryft Ship. Starting August 1, you'll be able to have the right sales tax calculated and collected from your buyers automatically — so you stay compliant without doing the math yourself. Here's the plain-English version of what's changing and what it means for you as a seller.
- As a seller, you are responsible for collecting and remitting sales tax where you're required to — Thryft Ship gives you the tools to do it automatically.
- Sales tax is opt-in and off by default. Nothing changes until you turn it on.
- You only need to collect once you have a tax obligation (“nexus”) in a state — usually after you pass that state's sales threshold. See When Do You Need to Collect Sales Tax?
- When you're ready, you register with your state, switch it on in your settings, and Thryft Ship calculates and adds the correct tax at checkout.
What's changing
Until now, Thryft Ship didn't calculate sales tax for you. Going forward, you'll have a built-in sales tax feature in your payment settings. When you turn it on, the correct amount of sales tax is worked out automatically based on where your buyer lives and the states you're registered in — and it's added to their checkout.
Why this matters for you
Starting August 1, payments run directly on your own connected account — which means you are the seller of record on every sale. In the US, sales tax is handled state by state, and the seller of record is the one responsible for collecting it from buyers and passing it on to the state. This is why sales tax is now something you handle going forward: it follows the sale, and the sale is yours.
Once your sales into a state cross that state's threshold, you're expected to register there and start collecting. If you should have collected tax but didn't, that money can come out of your own pocket later, often with penalties — so it's worth getting ahead of.
The good news: you don't have to track rates or do the math. Thryft Ship handles the calculation. Your job is simply to know where you need to collect, register with those states, and switch it on.
What you actually need to do
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Figure out where you have to collect
You owe sales tax in a state once you have “nexus” there — usually after passing a sales or transaction threshold. You don't have to track this by hand: Thryft Ship includes threshold monitoring that shows your sales by state and how close you are to each state's threshold, so you can see where you're heading before you get there. We break down how thresholds work in When Do You Need to Collect Sales Tax?
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Register with those states
Before you collect anywhere, register with that state's tax authority. Thryft Ship doesn't register for you — but once you're registered, you add the state in your settings.
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Turn on sales tax in Thryft Ship
Switch on the setting, add your registered states, and Thryft Ship calculates and collects the right amount at checkout. Full steps: How to Turn On Sales Tax Collection.
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Keep an eye on your thresholds
Built-in monitoring shows your sales by state and how close you are to each state's threshold, so you can check in and see when it's getting close to time to register somewhere new. See How Thryft Ship Helps You Watch Your Thresholds.
Common questions
What about sales I made before August 1?
This feature is about collecting tax on your sales going forward, once you turn it on. Whether you had any obligation on past sales depends on your own situation — where you were selling and how much — and that's a question for a tax professional, not something we can answer for you. If you're at all unsure, it's worth a quick chat with an accountant.
Do I have to turn this on?
It's optional and off by default. But if you have a sales tax obligation in a state, you're expected to collect there — this feature is how you do that on Thryft Ship without the manual work.
Who pays the sales tax — me or my buyer?
By default the tax is added on top at checkout, so your buyer pays it. You'll have a setting to change that if you'd rather absorb it into your prices. Either way, you're the one who remits it to the state.
Does Thryft Ship file and pay the tax for me?
Thryft Ship calculates and collects the tax for you. Filing and remitting to each state is still your responsibility (or your accountant's) — but you'll have clean records of what was collected.