Are shipping and delivery charges on mail order purchases from a Connecticut company subject to the sales tax?
Yes. State law imposes a 6% tax on retail sales of tangible personal property and certain services provided by companies doing business in Connecticut. By law, the sale price to which the tax applies includes “any charges by the retailer to the purchaser for shipping or delivery. ” Shipping charges are taxable regardless of whether they are separately stated on the customer’s bill and regardless of whether the retailer itself provides the shipping or whether it is provided by a third party (CGS 12-407 (8)(A)(iii) and (9)(A)(iii)). Does the tax apply to shipping fees for all items or just taxable items? The sales tax applies only to shipping charges for taxable items. By law, the shipping charge tax does not apply to shipping charges for items that are exempt from the tax. Do any other conditions apply to the sales tax on shipping fees? The law specifies that the tax applies to shipping charges for sales occurring on or after July 1, 1993. A Department Revenue Services (DRS) Letter Ruli
