West Virginia – Sales Tax Collection Requirements

SALT Report 1254 – The West Virginia State Tax Department has revised their publication regarding sales tax responsibilities when selling or leasing tangible personal property or providing taxable services in West Virginia.

If you sell or lease tangible personal property or provide a taxable service in West Virginia, you are generally considered a vendor and are required to collect West Virginia Sales Tax on each sale, service or lease unless a statutory exception or exemption applies.  All sales, leases and services are taxable unless expressly exempted by law.

The burden of proof that a sale is exempt from the tax rests with the vendor. You must collect tax on all taxable sales regardless of whether you make sales as an individual, a partnership, a corporation, a governmental agency or any other entity.  Even non-profit organizations that are exempt from federal and state income taxes must collect West Virginia Sales Tax in many cases.

Failure to Collect – Any person required by law to collect sales tax and fails to do so is guilty of a misdemeanor, and, upon conviction may be fined up to $500, be imprisoned, or both.

Failure to remit more than $1,000 – Any person who fails to remit the tax collected more than 30 days after the date the tax is due is guilty of a felony.  If convicted, the violator may be fined up to $25,000, be imprisoned, or both.

Failure to remit less than $1,000 – Any person who willfully fails to remit the tax collected more than 30 days after the date the tax is due is guilty of a misdemeanor.  If convicted, the violator may be fined up to $5000, be imprisoned, or both fined and imprisoned.

In all cases, each month, or fraction of a month, during which failure continues is a separate offense and punishable accordingly.

For Further Information

West Virginia State Tax Department – TSD-407