State Sales Tax (US)
- States where sales tax will apply
- Background
- What is a marketplace facilitator, and what are their responsibilities?
- What is taxable?
- Online sales through TicketSource Payment Processing for the listed states
- Online sales through Stripe Payment Processing for the listed states
- Non-profit/tax-exempt organizations
- For direct/in-house sales
- Review the collected tax (from late November 2025)
- States where TicketSource does not collect and remit tax
- Other taxes (e.g. local admissions tax)
- Tax advice
- The Legal Bit
- Commonly asked questions
States where sales tax will apply
From December 2, 2025, TicketSource will begin automatically collecting and remitting sales tax on online bookings in the following states:
● Arizona
● Georgia
● Kentucky
● Nebraska
● Vermont
● Florida (From January 1, 2026)
This change means we will now take care of the process for you in states where TicketSource has established “nexus” - the legal requirement for marketplaces like ours to collect and remit sales tax on behalf of event organizers.
Background
In states where TicketSource is considered a marketplace facilitator and where we have met the minimum threshold, we are required by law to collect and remit sales tax on ticket and sundry sales and booking fees (where applicable) made through our platform and processed using the TicketSource payment processing services.
Taxes will be automatically applied for customers in the required states.
This requirement is currently only in place for specific states. Please refer to the section above to determine if sales tax will be applied in the state where you conduct your events.
What is a marketplace facilitator, and what are their responsibilities?
A marketplace facilitator is a company that provides a platform or service to help others sell goods or services. For example, TicketSource enables event organizers to sell event tickets. Under marketplace facilitator laws, the responsibility for sales tax shifts from the seller (you) to the platform (us).
What is taxable?
Every state has different rules on what is taxable. For example, some states apply sales tax to all sales, whilst others may apply it only to tangible items. If we are required to collect sales tax for your state, it will be listed above. Please click on the state to obtain further information on which part of your sales are subject to tax.
What this means for you
Online sales through TicketSource Payment Processing for the listed states
This means:
- TicketSource will calculate and collect sales tax due on the tickets, sundry sales and booking fees for online bookings, which will be charged to the customer. TicketSource will report and pay the applicable sales tax to the state.
- You, as an event organizer, won’t need to collect, report or remit that tax separately for sales made online through TicketSource.
Online sales through Stripe Payment Processing for the listed states
This means:
- TicketSource will calculate and collect sales tax due on booking fees only, which will be charged to the customer. Similar to the booking fee, Stripe will automatically send the sales tax it collects directly to TicketSource, and we will report and pay the applicable sales tax to the state.
- You will continue to remain liable for any sales tax due on your tickets or sundry sales made online or direct sales.
Non-profit/tax-exempt organizations
If you are a 501(c)(3) tax-exempt organization, other non-profit, or federal organization, this does not automatically mean your sales are tax-exempt. Each state has differing rules for determining the taxability of tickets sold by tax-exempt organizations. You are responsible for ascertaining whether sales tax should be applied to your bookings.
You can find general information about sales tax and exempt organizations here.
If TicketSource is required to collect and remit sales tax for your state, please click on the state above. This will provide further information on tax exemptions in your state.
For direct/in-house sales
If you sell tickets in-house (e.g. you take payments by cash, check, bank transfer or use your own Stripe payment processing services for in-house bookings) and record the booking in your TicketSource back office, or if you sell tickets outside of TicketSource, you are responsible for collecting, reporting and remitting the sales tax to your state. TicketSource is only required to collect sales tax for online bookings processed using the TicketSource payment processing services.
Review the collected tax (from late November 2025)
You can view the collected tax via your sales report. Go to reports | sales report and follow the prompts to generate a sales report for a specific event or events. Once the report has been generated, you will see two columns displaying the sales tax collected (one for sales tax on tickets and one for sales tax on our booking fees), which is the amount TicketSource will remit to the state on your behalf.
The sales tax will also be reported on your event payout statement, which will be issued after your event concludes.
States where TicketSource does not collect and remit tax
If your state is not included above, either TicketSource has not met the threshold to start collecting sales tax on your behalf, OR your state does not levy sales tax on event tickets, booking fees or sundry sales.
Where sales tax is applicable, but TicketSource has not yet met the threshold to collect and remit sales tax on your behalf, you retain responsibility for any tax liability on your ticket sales. We recommend that you regularly review this article, as more states will be added to the list in future months.
If you are unsure of your tax obligations, we recommend consulting a tax professional, as TicketSource cannot provide tax advice.
Other taxes (e.g. local admissions tax)
Some states and local municipalities levy an admissions tax on events. TicketSource is not required to collect and remit admissions tax. This remains the responsibility of the event organizer. TicketSource is only required to collect sales tax where required by the state.
Tax advice
TicketSource cannot give tax advice. Please consult a tax professional. This is general guidance and is not legal advice. Nothing in this article overrides an individual state’s laws. For specific state guidance, please contact the state tax authority.
The Legal Bit
TicketSource is relieved of liability for tax errors to the extent that the error was due to incorrect or untrue information given to TicketSource by the event organizer.
An event organizer shall not furnish any information relating to an event, ticket sales, or tax-exempt status if the event organizer knows or has reasonable cause to believe the information is inaccurate or untrue. The event organizer must verify, correct, and update information if they determine that the taxes calculated on event tickets sold via TicketSource are inaccurate. Knowingly providing false or misleading information will breach the TicketSource terms and conditions of use.
Commonly asked questions
Q: I have integrated my own Stripe account into my TicketSource account to process card payments. Do you collect and remit the sales tax?
A: Partly. Generally, we only charge, collect and remit sales tax for bookings processed by TicketSource payment processing. However, because our booking fee may be subject to sales tax (depending on your state’s rules), the sales tax on the booking fee may appear on the booking, and Stripe will send the sales tax to us. We will then report and remit the tax. You remain responsible for collecting, reporting and remitting any applicable sales tax on your ticket and sundry sales. We will be developing options for you to choose to add sales tax to your tickets/sundries in the future.
Q: Do you file and remit the sales tax to the state under the event organizer’s registered name and tax account?
A: No, as the marketplace facilitator, we will file and remit sales tax collected on behalf of our clients under the name of TicketSource. We are not required to report sales tax by each unique event organizer, but we collate all sales tax collected on behalf of clients in that state.
Q: How can I see what sales tax you have collected and remitted on my behalf?
A: In your event sales report, you will see two new ‘Sales Tax’ columns (one for ticket sales – your sales, and one for booking fees – our sales). Values in these columns will reflect the sales tax that has been collected from your customers and what TicketSource is due to report and remit to your state tax department.
Q: If tickets are refunded, will sales tax (if charged) also be refunded?
A: If tickets are refunded, the sales tax will also be refunded to the customer. Sales tax on booking fees will only be refunded if the booking fee is refunded (e.g. due to an event cancellation, postponement, or a significant change).
Q: If you collect and remit the sales tax, do I need to report anything?
A: You do not need to report sales tax collected by TicketSource (i.e., your online bookings). You only need to collect and report/remit sales tax for direct sales, such as in-house bookings or sales made through other sales outlets, if applicable (see the next point).
Q: I use multiple platforms or sales outlets to sell tickets for my event. How do I manage sales tax on sales outside of TicketSource?
A: TicketSource will handle only the sales tax (if applicable) for online bookings made through TicketSource payment processing services. If you sell tickets directly to customers (e.g., cash sales), you are responsible for collecting and remitting these taxes to your State. If you sell tickets using other ticketing platforms or e-commerce websites, you will need to check how they handle sales tax and take on this responsibility if they do not collect sales tax on your behalf.
Q: I didn’t declare my tax-exempt status, so sales tax has been charged to my customers. Can it be refunded?
A: No. The event organiser is responsible for completing the sales tax exemption declaration before the ‘go live’ date of 2nd December, OR before their first sale. We are not permitted to refund sales tax for failure to do this.
Updated on: 13/11/2025