Since Etsy is collecting sales tax on the behalf of the merchants using the platform, Printify merchants can submit an Etsy exemption letter for sales tax exemption on Etsy orders. This letter confirms that the sales tax is collected on their sales by Etsy and is remitted to the respective State revenue department. Upon the receipt of this letter, Printify will tax-exempt all orders placed through Etsy.
However, there are states that have not passed the marketplace facilitator act yet. Therefore, the e-commerce marketplaces facilitators such as Etsy do not collect sales tax on the behalf of the merchants in those states. One such state is Kansas. It means that Printify also cannot exempt its merchants’ sales going to Kansas based on the Etsy exemption letter.
If you would like your orders shipped to Kansas to be exempt of sales tax, you'll need to submit a Kansas Resale Exemption Certificate to Printify.
Alternatively, you can submit an MTC exemption certificate, which will cover multiple states, including Kansas.
When Kansas will have adopted and implemented the marketplace facilitator regulations, we will exempt all sales through Etsy for our merchants. Make sure to check our Help Center, as well as our blog for any updates on this in the future.