Certified Providers

What is a CSP?

CSP FAQs

The following providers are certified by the Streamlined Sales Tax Governing Board.

Do you qualify for free sales tax calculation and reporting services?

If you are a “volunteer seller” in a Streamlined Member state, as defined in section D.2.(b) of the Certified Service Provider (CSP) contract, the state compensates the CSP for providing the software and services necessary to:

  • Set-up and integrate its Certified Automated System (CAS) with your system;
  • Calculate the tax due on a transaction at the time of the sale;
  • Prepare and file the required returns;
  • Make the necessary remittances;
  • Respond to and provide supporting documentation with respect to sales and use tax notices and audits; and
  • Protect the privacy of tax information it obtains for that state. 

Under the CSP contract, the CSP will not charge you for these services provided for the Streamlined Member states in which you are a “volunteer seller.”

 

How to Qualify for Free CSP Services

To receive free CSP services a Seller must:

1. Register for that Streamlined Member state through the Streamlined Sales Tax Registration System;

2. Contract with a CSP; and

3. Meet all the following criteria (a-f) during the 12 months prior to registration with that state:

a. no fixed place of business for more than 30 days in that state;

b. less than $50,000 of Property, as defined below, in that state;  

c. less than $50,000 of Payroll, as defined below, in that state;

d. less than 25% of its total Property or total Payroll, as defined, in that state;

e. was not collecting sales or use tax in that Streamlined State as a condition for the seller or an affiliate of the seller to qualify as a supplier of goods or services to that state; and

f. was not required to register and collect sales or use tax in that state as a statutory requirement for the seller or an affiliate of the seller to be able to sell, ship or deliver a particular type of product into that state.

A seller will lose its “volunteer seller” status in a Streamlined state if the seller is required to register in a state and no longer meets all of the above criteria (a-f) in that state.

A seller who meets the above criteria and who becomes legally obligated to register in a Streamlined State solely because of the enactment of (a) federal legislation, (b) state legislation or administrative action, or (c) a final federal court decision is a Volunteer Seller for that Streamlined State.

A remote seller that is only required to report and remit sales tax in a state because it meets the economic nexus threshold of that state qualifies for free CSP services in that state.

Interested in CSP Services?

Contact a CSP to discuss the next steps on having them provide these services to you in the Streamlined states. Be sure to ask about the services available under the CSP contract with the Streamlined Sales Tax Governing Board.

 

When May a CSP Charge for Services?

The CSP may charge you for these services in any Streamlined Member states in which you are not a “volunteer seller” and for other services you want the CSP to provide.

A CSP may charge for services:

  • For states in which the seller is not a "volunteer seller";
  • In states in which the seller is not registered through the Streamlined Sales Tax Registration System;
  • That are in addition to those services required by the CSP contract such as:
    • General accounting services,
    • Invoice preparation, billing and accounts receivable collection services,
    • Tax calculation or reporting services unrelated to the CSP Services; and
    • Consulting services;
  • To process non-taxable transactions if the non-taxable transactions exceed 30% of all transactions processed annually for a "volunteer seller" in a particular Streamlined Member state; and  
  • For states that are not Streamlined Member states.

The “volunteer seller” definition is used to determine compensation for the CSP. This definition does not determine if a Seller has a legal obligation to collect sales or use taxes in any Streamlined State.

 

 

The CSP may charge you for their services in any Streamlined Member states in which you are not a "volunteer seller" and for other services you want them to provide.

 

Compensation for CSP Services is not payment to a seller for the administration of any state or local sales tax.