We recognize that staying compliant is not just about avoiding trouble—it’s about thriving in a thriving industry. With our finger on the pulse of the NFT world, we understand the complexities that artists, sellers, and marketplaces face. Our commitment is not just to navigate the maze of regulations but to empower you to seize the boundless opportunities that the NFT space offers.
Our journey alongside NFT artists, sellers, and marketplaces has granted us unique perspectives that allow us to anticipate challenges, foresee regulatory shifts, and design strategies that position you for long-term success.
By partnering with Digital Impost, you harness the collective wisdom of professionals who not only understand the industry but are passionately committed to helping you navigate it with precision and confidence.
We have crafted a comprehensive approach that seamlessly blends expert guidance, tailored strategies, and cutting-edge technology to navigate the intricate realm of NFT sales tax compliance. Our methodology is designed not just to ensure adherence to regulations, but to empower you with insights and tools that drive your success.
During the initial onboarding process, you will have a consultation with your tax advisor to discuss your business, the planning process, engagement expectations and what information we will need to complete the engagement.
During our tax assessment and planning consultations your advisor will assess your tax and compliance and get all of your questions answered.
We provide a customized tax plan report that details each recommended tax and compliance strategy.
Your tax advisor is available to you on an as needed basis throughout the year to support you as your business grows and tax laws change. We provide ongoing email support, periodic check-in calls and compliance support.
Our proven tax planning process is designed to provide you with a roadmap of the best strategies available to get into sales tax compliance and to protect your assets based on your current situation and future goals.
We’ll review and prepare a written response to letters received from state and local tax agencies regarding sales tax notices. If you are being audited by state, local or federal agencies, or if you need us to call the tax agencies on your behalf to work through a notice you’ve received we can provide assistance at an hourly rate.
We’ll review and prepare a written response to letters received from state and local tax agencies regarding sales tax notices. If you are being audited by state, local or federal agencies, or if you need us to call the tax agencies on your behalf to work through a notice you’ve received we can provide assistance at an hourly rate.
Leverage our deep understanding of NFTs, cryptocurrencies, and tax regulations.
Get solutions designed to fit your unique business needs and growth trajectory.
Enjoy seamless, technology-driven tax collection, reporting, and remittance.
Minimize risks through accurate compliance and proactive strategies.
Access dedicated customer support and ongoing education to stay ahead of compliance challenges.
As an NFT seller or artist or Web3 business, you may be wondering why you have to collect sales tax on your digital assets. The reason is simple: NFTs are considered digital goods by the majority of states in the US, and sales tax applies to digital goods just as it does to physical goods.
Several states, including Washington, Wisconsin, Pennsylvania, Minnesota, and Puerto Rico, have provided guidance stating that sales tax should be collected on NFT sales. It’s important to note that the list of states requiring NFT sales tax is constantly evolving, with new states joining the list each year. By collecting sales tax on your NFT sales, you ensure compliance with state and local tax laws, mitigating legal and financial risks that could arise from non-compliance.
Digital Impost, an NFT sales tax software, is specifically designed to simplify the tax collection process for NFT sellers and artists. By using our software, you can automate the sales tax calculation and collection, ensuring compliance and peace of mind.
If you’re an NFT seller, it’s crucial to understand which states impose sales tax on NFT sales. While sales tax laws can vary from state to state, currently, many states require NFT sellers to collect and remit sales tax on their transactions. Some of the states that impose NFT sales tax include Washington, Wisconsin, Pennsylvania, Minnesota, and Puerto Rico.
However, it’s important to stay up-to-date with sales tax requirements in the states where you sell, as the list of states requiring NFT sales tax can change over time. Digital Impost can help you manage and comply with sales tax requirements for NFT sales, ensuring that your tax compliance is taken care of while you focus on growing your business.
Sales tax on NFTs is typically collected from the customer at the point of sale. The frequency of filing and remitting sales tax varies by state. Some states require monthly filings, while others may require quarterly or yearly filings. It’s important to familiarize yourself with the specific filing and remittance requirements in the states where you have sales to ensure timely compliance.
When selling NFTs and collecting sales tax, it’s important to gather the necessary information from your customers. This typically includes the customer’s location (to determine the applicable sales tax rate and jurisdiction) and any exemption certificates, if applicable. Digital Impost’s software can assist you in collecting and organizing this information, making the process seamless and efficient.
Marketplace facilitator responsibilities for NFT sales tax can vary by state, as each state has its own sales tax laws. In most cases, marketplace facilitators are required to collect and remit sales tax on behalf of their sellers. However, the specifics can vary from state to state.
Some states require marketplace facilitators to collect and remit sales tax on all sales made through the marketplace, while others may have criteria such as a certain level of sales or presence in the state. It’s important for sellers to be aware of the sales tax laws in the states where they have sales and ensure compliance with those laws.
Digital Impost recommends consulting with a tax professional or lawyer to understand your obligations when it comes to sales tax and marketplace facilitator laws. It’s crucial to stay informed about any changes in these laws to ensure ongoing compliance.
