Are there other types of sales that have special circumstances which determine taxing jurisdiction?
Some of the common types of sales that have special circumstances surrounding the determination of taxing jurisdiction are listed below.
- Long term or blanket contracts — If the contract is fulfilled by the purchaser placing specific orders when goods are wanted, it is the location of the seller’s place of business where the specific orders are placed that determines which local governments will share in the sales tax. The location where the seller signed the master contract has no bearing on the taxing jurisdiction.
- Sales from vehicles carrying uncommitted stock of goods — If a retailer is carrying stock, which is uncommitted (the stock has not previously been sold), the place where the sale occurs is the location of the vehicle and its goods at the time of the sale.
- Vending machines —The location of a vending machine determines where a sale takes place.
