As revenues have gotten tighter in many states, local governments have been looking for new ways to help their local economies.
In recent years, the legislatures in many states have passed laws that charge their residents sales tax not only on tangible goods, but also on services related to data and online information. They then imposed the tax collection requirement on companies that do business in their state. While many of these laws have been challenged in the courts, the bulk of them have survived.
VIN must now comply with these requirements.
Why am I being charged sales tax?
We are required to collect sales tax where applicable by law.
Currently VIN is required to charge sales tax for the indicated services in the following states:
State |
Membership |
eVetsite * |
CE |
Books |
Alabama |
NT |
T |
NT |
T |
Arizona |
T¹ |
T¹ |
NT |
T |
California |
NT |
NT |
NT |
T |
Colorado |
T¹ |
T |
NT |
T |
Connecticut |
T |
T |
NT |
T |
District of Columbia |
T |
T |
NT |
T |
Florida |
NT |
T |
NT |
T |
Georgia |
NT |
NT |
NT |
T |
Hawaii |
T |
T |
T |
T |
Idaho |
NT |
NT |
NT |
T |
Illinois |
NT |
NT |
NT |
T |
Indiana |
NT |
T |
NT |
T |
Kansas |
NT |
NT |
NT |
T |
Kentucky |
NT |
T |
NT |
T |
Louisiana |
NT |
T |
T |
T |
Maryland |
NT |
NT |
NT |
T |
Massachusetts |
NT |
T |
NT |
T |
Michigan |
NT |
NT |
NT |
T |
Minnesota |
T¹ |
NT |
NT |
T |
Missouri |
NT |
NT |
NT |
T |
Nebraska |
NT |
T |
NT |
T |
Nevada |
NT |
NT |
NT |
T |
New Jersey |
T |
T |
NT |
T |
New Mexico |
T |
T |
T |
T |
New York |
T |
T |
NT |
T |
North Carolina |
NT |
T |
NT |
T |
Ohio |
T |
T |
NT |
T |
Oklahoma |
NT |
NT |
NT |
T |
Pennsylvania |
T |
NT |
NT |
T |
Tennessee |
NT |
NT |
NT |
T |
Texas |
T |
T |
NT |
T |
Utah |
NT |
T |
NT |
T |
Vermont |
NT |
T |
NT |
T |
Virginia |
NT |
NT |
NT |
T |
Washington |
T |
T |
NT |
T |
Wisconsin |
T |
T |
NT |
T |
Wyoming |
NT |
NT |
NT |
T |
Legend:
T = Taxable ; T¹ = Taxable in some cities
NT = Not taxable
* Some services taxable.
This list is subject to change without notice.
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How much sales tax will I be charged?
Within each state, counties and cities may have different sales tax rates.
The amount of sales tax you are charged is based on where you use VIN services most frequently. We call this your primary 'usage' location. If you purchase an item or service that is taxable in the state where you most frequently use VIN then sales tax will apply. If your primary usage address is not in one of the states where VIN is required to collect sales tax, you will not be charged.
You can check the sales tax rate for an address. Type your address in the top 'search' box.
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How is sales tax calculated for VIN membership payment groups?
The sales tax rate for VIN membership payment groups is determined based on each member's primary usage location.
Please see this chart to find out if VIN membership fees are taxable in your state.
For example, the graphic below shows how it might look for a four doctor payment group with members who use VIN in various tax jurisdictions:
- Behind the scenes, the base membership fee is divided by four.
- The applicable sales tax rate is applied to each quarter of the fee.
- In this example two members use VIN in locations which aren't subject to sales tax on membership, and two members use VIN in a jurisdiction where the sales tax rate on membership is 5%.
- Half of the base membership fee would have no tax applied and half of the fee would be subject to a 5% sales tax.
What happens when someone leaves the group?
When a departing member of the payment group has unused paid membership time remaining, the sales tax refund will be prorated based on the member's primary usage location when sales tax was originally applied.
- In the example above, if Member 3 leaves the group, no tax would be refunded.
- If Member 1 leaves, the prorated refund would include a sales tax refund at the 5% rate.
In order to ensure that your membership fee is appropriately taxed (or not taxed), please ask each member of your payment group to confirm that the primary usage location is set correctly in their VIN profile.
Learn how.
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What if I work in more than one location?
The location where you most frequently use VIN is the basis for determining whether you must pay sales tax and if so, what rate you will be charged.
If you work as a relief or mobile veterinarian, make your best estimate of where you most frequently access your VIN account and set that as your usage address (Learn how). If the location changes too frequently to make a fair estimate, you may choose to set your business license address as your usage address.
If you have questions or need help setting your usage address, please contact us.
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What if the organization I work for is tax exempt?
Send a copy of your sales tax exemption certificate to vingram@vin.com.
When your certificate has been received and verified against the services VIN provides, your membership record will be flagged as tax exempt.
*If your certificate is issued with an expiration date, please be prepared to send a new copy each time you renew your certification.
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How can I set my usage address?
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If you have questions or need help setting your usage address, please contact us.
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