Tax Responsibilities on Mercantive
As a seller on Mercantive, you are solely responsible for managing your tax obligations related to your sales. This includes determining, calculating, and remitting any applicable sales tax, VAT, GST, or other taxes based on your local regulations.
Sales Tax, VAT, and GST
Mercantive operates as a direct payment platform where buyers’ payments are deposited directly into your account. No taxes are added to or remitted from your sales by Mercantive. It is your responsibility to:
Assess whether you need to register for sales tax, VAT, or GST in your jurisdiction.
Accurately calculate and collect the appropriate tax amounts on each transaction.
Remit these taxes to the relevant authorities as required by local law.
Income Tax
Income earned through Mercantive is subject to income tax. You are responsible for reporting this income and paying any taxes due according to your country’s tax laws. We recommend consulting a tax professional to determine if you need additional documentation (such as payment processor forms) or to address any unique aspects of your tax situation.
Your Responsibilities
Determine Your Tax Obligations: Understand the tax requirements that apply in your jurisdiction.
Register and Comply: If required, register with the appropriate tax authorities and comply with all filing and payment deadlines.
Maintain Records: Keep detailed records of your sales transactions, tax collected, and any remittances made.
Seek Professional Advice: Consult with a tax advisor for personalized guidance to ensure full compliance with all applicable tax laws.
Transparency and Accuracy
While Mercantive facilitates your transactions, you are fully responsible for the tax components of your business. Please ensure that your pricing, invoicing, and record-keeping reflect your local tax requirements and maintain clear communication with your customers regarding any tax charges.
For further assistance or clarification, we strongly recommend reaching out to a qualified tax professional.