Who pays state taxes

My small non-prof is kicking around doing an online auction. Though our home state of Alaska doesn't have a state sales tax, we were wondering who pays the state tax when an item is sold to a person who's state has a sales tax. Can anyone help with this?

Dave,

I found the quote below on a site at the Chicago Kent College of Law. It says: "Interstate (auction) sales are those sales where goods are delivered to a buyer located in a different state from which the seller shipped the goods. Sellers are not required to apply sales taxes to transactions made with buyers in other states."

However, you should consult your own legal advisor to be certain. The firm that provides your auction software will probably also be able to advise you.

Robert

Thanks Robert!