Wellevate Sales Tax FAQs, Effective 01/01/2019
Effective January 1, 2019, Wellevate will collect and remit all sales tax on behalf of the practitioner on all sales made through their online dispensary. Wellevate reports and remits all sales tax under our sales tax license numbers as a Marketplace Facilitator. You may request our state/local sales tax license numbers by sending an email to email@example.com.
Q: Can I cancel/terminate my sales tax license? Do I still need to file sales tax returns?
A: Every business has unique tax obligations. If you are selling products online, most states require the seller to hold a sales tax license, even if all products are tax exempt.
You may be required to file sales tax returns. Practitioners should work with their professional tax advisor to understand their personal, business, and/or corporate tax obligations throughout the US.
Q: Will Wellevate start automatically collecting sales tax on my Wellevate sales?
A: Yes. Beginning with any orders on or after 1/1/19, Wellevate will report and remit sales tax in nearly every state.
Shipments to Delaware, Montana, New Hampshire, Oregon, Puerto Rico and any US territory (such as Guam, US Virgin Islands) will not be assessed sales tax at this time.
Practitioners remain responsible for any other taxes assessed which may include Gross Receipts tax, Income Tax, Business Licenses & fees, Use Tax, Business and Occupational taxes, Commerce Tax, etc. and should refer to their professional tax advisor on how to file.
Q: What happens to the taxes collected before 1/1/19 and after 1/1/19?
A: For any shipment on or after 1/1/19, Wellevate will report and remit all sales tax collected on your behalf. You do however remain responsible for any sales tax audits on these taxes and Wellevate will provide audit support upon request.
For any shipment before 1/1/19, you remain responsible for reporting and remitting these taxes to your taxing authorities. Reporting will remain available on your Wellevate platform for you to pull down for at least 12 months under Account Settings.
Q: How can I obtain my tax reporting for any taxes?
A: For any taxes collected before 1/1/19, you can continue to access reporting from your Account Settings.
Any taxes charged on or after 1/1/19 are available upon request. Please send an email to firstname.lastname@example.org requesting a report. Please allow up to 5 business days for us to provide requested reports.
Q: I only sell dietary supplements and they are exempt in my state. Are you going to be charging tax on all products I list on my Wellevate account?
A: No. Emerson will only be assessing sales tax on those products deemed taxable by the ship to state and local taxing authorities. We use a 3rd party taxing software to help us make this determination.
If dietary supplements are not subject to sales tax, in the ship to state, your patients will continue to see these items as tax exempt on their orders.
Q. When prescribed, dietary supplements/vitamins can be exempt under a medical exemption. How do I setup my account as a medical exempt provider for sales tax?
A: At this time, Wellevate does not offer medical exemptions on patient orders. You may purchase these products using an exemption form through our Emerson Ecologics site. For more information, feel free to contact our tax team at email@example.com.
Q: I'm a virtual provider and don't want to list my home address on my customer invoices. Can I leave my address information blank?
A: A handful of states require your full business address to be listed on the patient invoice. If you do not wish to list your street address, Wellevate must have at least the following pieces of information to ensure accurate tax collection and reporting.
• Business name or DBA name.
• City where your virtual/home office is located
• State where your virtual/home office is located
• 9 digit zip code where your virtual/home office is located. If you need help finding your full 9 digit zip code, you may look it up at www.usps.com.
Q: We are a multi-office practice and only want to setup one Wellevate account, what business address do we list on the patient invoices?
A: Wellevate is required to collect and remit sales tax based on the business location information you provide in your sellers profile. To ensure proper taxation, a separate Wellevate account should be created for each office or virtual location.