Why did Digi-Key mail me a sales tax exemption certificate?
Most states require sales tax (or use tax) to be paid on the purchase of personal property unless the purchase is exempt. Sales tax is added to the purchase price of the products and remitted to the state by the seller; use tax is reported and remitted to the state by the buyer. In each case, the liability is the same. Digi-Key is collecting sales tax from our customers unless we have a properly executed exemption certificate.
Most states require sales tax (or use tax) to be paid on the purchase of personal property unless the purchase is exempt. Sales tax is added to the purchase price of the products and remitted to the state by the seller; use tax is reported and remitted to the state by the buyer. In each case, the liability is the same. Although Digi-Key has not been responsible for collecting sales tax for your state in the past, we will be collecting sales tax from most our customers in the future unless we have a properly executed exemption certificate.