Tariffs Are Taxable in the 24 Streamlined Sales Tax States

The Streamlined Sales Tax Governing Board clarified that the Trump administration’s tariffs on most imported goods are subject to sales tax, whether the amount is separately stated on an invoice or folded into the final retail price.

The Streamlined board, which promotes consistent sales tax policies across its 24 member states, issued a short statement on uniform sales tax treatment of tariffs. Under the guidance, Streamlined states “consider tariff costs passed from an importer to a customer as part of the importer’s sales price and subject to the same sales and use tax as the product being sold.”

The ...