Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2013
 

Uniform Local Sales and Use Tax Annotations

710.0000 PLACE OF SALE FOR PURPOSES OF BRADLEY-BURNS UNIFORM LOCAL SALES AND USE TAXES—Regulation 1802

Annotation 710.0150

710.0150 Website vs. Warehouse. An on-line retailer has no sales office in California. Its corporate headquarters, the computer server on which the retailer's website is located, and the warehouse from which orders are shipped are located in three different California cities. Customers place orders on the retailer's website. The orders are transmitted electronically to the warehouse, where the orders are processed and the goods are placed on the retailer's truck for delivery to the customers.

A website is not a place of business for purposes of the local sales and use tax. Here, the retailer's employees first become involved in processing the orders at
the warehouse. Accordingly, the warehouse is the place of sale for local sales tax purposes. The local sales tax is allocated to the place where the customer negotiates the sale with the retailer. 8/18/99. (2000–2).