Sales Tax Information
EcoEnclose is registered or in the process of registering as a wholesale business in several states. Once registered, EcoEnclose files sales tax on a quarterly or annual basis, depending on the state.
- New Jersey
- North Carolina
EcoEnclose is a wholesale business that sells packaging supplies to businesses nationwide.
In all of the above states, the sale of packaging to a registered business that is then used to protect and ship sold goods (tangible personal property) to end consumers is exempt from sales tax. Additionally, shipping and postage is exempt from sales tax in these states.
For reference, relevant clauses and regulations across these states are provided below.
- California: Regulation 1589. Containers and Labels
- Colorado: SR-9 CONTAINERS
- Illinois: Section 130.2070 Sales of Containers, Wrapping and Packing Materials and Related Products
- Indiana: ARTICLE 2.5. STATE GROSS RETAIL AND USE TAXES; CHAPTER 5. EXEMPT TRANSACTIONS OF RETAIL MERCHANT; IC 6-2.5-5-9
- Maryland: Md. Tax-Gen. Code Ann. sec. 11-102; Md. Tax-Gen. Code Ann. sec. 11-101; Code Md. Regs. 03.06.01.08.
- Minnesota: Subp. 6. Packaging materials
- New Jersey: Wrapping/Packaging Materials (page 14)
- North Carolina: General Statute §105-164.13(23)a. (exempts wrapping paper, labels, wrapping twine, paper, cloth, plastic bags, cartons, packages and containers, cores, cones or spools, wooden boxes, baskets, coops and barrels, including paper cups, napkins and drinking straws and like articles sold to manufacturer, producers and retailers, when such materials are used for packaging, shipment or delivery of tangible personal property which is sold either at wholesale or retail and when such articles constitute a part of the sale of such tangible personal property and are delivered with it to the customer.”)
- Nevada: Packaging and Crating
In addition to selling packaging to ecommerce businesses, EcoEnclose also offers dispensers for packaging tape and paper rolls. These dispensers are subject to sales tax in the above states, as they are intended for ultimate use by the purchaser (and are not resold as part of a sale of product to a customer).
EcoEnclose may request exemption certificates from customers to validate packaging sales tax exemption (or any other type of sales tax exemption). If this is requested, please complete the form below.