Sales tax is a tax imposed by the government on the sale of goods and services. The sales of items to a resident of another country may be taxable or exempt depending on the shipping address for the particular order.
By shipping address, it means a location where your order will be drop-shipped by our company. For example, if you would like us to deliver the order to your forwarding agent in New York and then the agent will ship it to your address outside of the US, the shipping address for Prime Lab Med will be the agent’s location in New York.
If the purchased item is shipped directly to a foreign destination, the sales tax will not be applied to the order. Please note that your shipping account may also be used for shipping. In this case, we will require a shipping label or a copy of the air waybill to dispatch the order.
If the order is going to be shipped to the US location, the sales tax may be applied based on the applicable state and local sales tax regulations and rates.
Almost all the states of the USA require sellers to collect the sales tax from their customers. Only five states do not charge sales tax on purchases: Alaska, Delaware, Montana, New Hampshire, and Oregon. If you would like us to ship the order to one of these sales-tax-free states, the sales tax will not be collected.
If the order needs to be shipped to your Freight Forwarder’s location in any other state, the sales tax must be collected. However, once the order is shipped outside of the US, you may provide us with a bill of lading or an air waybill issued by a licensed and certificated carrier and we will issue a refund for the sales tax amount.
The document must include the following information:
- seller's information (company's name and address)
- Prime Lab Med order number
- information about purchased items (brand names and part numbers).
Examples of the accepted documents: Air Waybill, Bill of Lading
Please note that any other documents that don't meet the requirements above will not be considered for sales tax returns. The credit will be applied upon appropriate documents received and approved.
You should also be informed that Florida has a unique sales tax exemption applied to this particular state only. The state of Florida assigns a 0% sales tax rate to zip codes occupied exclusively by licensed forwarding agents. As the goods purchased by customers are shipped to these locations mostly for export purposes, these transactions are exempt from the sales tax by the state regulations. For detailed information about the certain Freight Forwarder’s address and the sales tax rate, you may Contact Us or your Freight Forwarder.
If you would like us to ship the order to a residential area in the US, the sales tax amount will not be refunded due to the state sales tax regulations. In this case, the government considers that you or another person can take possession or control the purchased item before it is transported out of the country.
In other words, to avoid the sales tax you might choose one of the following options:
- Shipping the order outside of the US:
- with our shipping account no additional documents are required;
- with your shipping account: a shipping label or a copy of the air waybill is required.
- Shipping the order to one of the sales-tax-free states (Alaska, Delaware, Montana, New Hampshire, or Oregon)
- Shipping the order to a licensed forwarding agent’s location in Florida if a 0% sales tax rate is assigned
- Shipping the order to a forwarding agent’s location in any other state of the US BUT the sales tax will be applied to your order first and we will issue the refund for the sales tax amount once the order is shipped out of the country and you provide us a copy of bill of lading or an air waybill as proof of exportation.
The sales tax amount will be applied to your order and will not be refunded if:
- The order is to be shipped to a residential area in the USA;
- You will not be able to provide a necessary document that can be proof of export;
- Your document will not be approved (if it does not meet the mentioned requirements).
Note: If you need to make the shipment changes once the order is paid but not shipped yet, we may contact you and advise the sales tax amount to be paid if necessary.
