NYDTF: Out-of-State Retailers Using NY Fulfillment Not Vendors for Sales Tax Purposes

An out-of-state retailer using an unaffiliated third-party fulfillment company in New York is not considered a vendor for New York sales tax purposes.
Storing inventory in New York with such a fulfillment service does not trigger sales and use tax collection requirements for the retailer.
If the fulfillment company qualifies as a marketplace provider, it must register and collect sales tax on all sales it facilitates, including the retailer’s products.
The NYDTF emphasizes the importance of considering factors like affiliation, physical presence, and service scope when determining tax liability.

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.