Mercari Sales Tax Guide: Does Mercari Collect Tax for Sellers?

Here's the direct answer: yes. Mercari says it calculates, collects, reports and remits sales tax "on behalf of our third-party sellers" in the states it lists, which are the 45 states with a statewide sales tax plus Washington, D.C. (Mercari). The buyer pays the tax as a separate line on their receipt, Mercari sends it to the state under its own registration, and you don't have to collect or remit anything on those sales.

That covers the checkout, not everything. Three things still catch Mercari sellers. Your Form 1099-K can show more than you were paid, because Mercari reports gross amounts, including the sales tax buyers paid. Some states want a permit from sellers who live there even when every sale is on a marketplace. And your Mercari volume can matter in states where you also sell somewhere else. This guide walks through each.

Key Takeaways

• Mercari collects and remits sales tax on taxable items shipped to the 45 sales-tax states and D.C., at the combined state and local rate of the delivery address (Mercari).
• Sellers don't remit anything, pay no extra fee for it, and can't opt out (Mercari).
• Mercari's 1099-K gross payments include buyer-paid sales tax and shipping, and count the item price before Mercari's fees, so the form can show more than you received (Mercari).
• Whether you need your own permit depends on the state and where you're based. Texas requires one from sellers based in Texas and New York from New York-based home businesses, even if they sell only through a marketplace; California generally doesn't.
• Mercari's sales count toward thresholds in states such as Texas, California, New York and Washington, which matters once you also sell outside Mercari.

Does Mercari Collect Sales Tax for Sellers?

Yes, in every state that has a statewide sales tax. Mercari's Sales Tax Policy says it "began calculating, collecting, reporting, and remitting applicable sales tax on behalf of our third-party sellers in the marketplace states listed" (Mercari). Its list covers taxable items shipped to 45 states and the District of Columbia, on start dates Mercari lists for each state, between October 2019 and July 2021.

A few details from Mercari's own pages:

• The rate follows the buyer. "The tax rate applied to an order is the combined state and local rate of the address where your order is delivered" (Mercari).
• It's collected under Mercari's registration. Mercari collects the tax "under Mercari's registered sales tax identification numbers" (Mercari), not yours.
• Nothing is asked of you. "There is no action required on the part of our sellers to remit the sales tax," and "there are no additional charges or fees associated with the collection and remittance of sales tax by Mercari" (Mercari).
• You can't turn it off. "Sellers cannot opt-out of Mercari's sales tax collection when it is required by state, county, city, or other local law" (Mercari).

Not on the list: Alaska, which has no state sales tax, though many of its local jurisdictions tax remote sales, most through the Alaska Remote Seller Sales Tax Commission (ARSSTC), and Delaware, Montana, New Hampshire and Oregon. Our guide to states without sales tax covers what that means for sellers.

For how Mercari compares with the other resale apps, see our thrift and vintage reseller guide and the rest of the platform guides, including Poshmark and eBay.

Is Shipping Taxed on Mercari?

Sometimes, depending on the state. Mercari tells sellers: "Depending on the state, separately stated shipping charges using Mercari shipping labels may be subject to sales tax" (Mercari). Buyers see it in their total, which "will include the tax on the item and on shipping, if taxable" (Mercari).

One quirk shows up with promotions. When Mercari issues a buyer coupon that lowers the buyer's price but not what you receive, Mercari says those coupons "are included in the sales tax base when applicable and the full sale price by the seller may be subject to tax" (Mercari). So the buyer can pay tax as if the discount hadn't happened.

Does Sales Tax Come Out of Your Mercari Earnings?

No. The tax goes from the buyer to the state through Mercari. In Mercari's Gross Sales Report, "Sales Tax Charged to Buyer" is described as "remitted directly to the state under Mercari's sales tax registration," while "Net Seller Proceeds" is "the net amount paid from the final Item price to sellers upon order completion less applicable seller paid shipping cost and Mercari selling and payment processing fees" (Mercari).

Mercari's fees are figured on the sale, not the tax. For listings created or updated on or after January 6, 2025, Mercari says "a 10% selling fee of the combined amount of item price and buyer-paid shipping will be charged to the seller" (Mercari). The buyer's 3.6% Buyer Protection fee uses the same item-plus-shipping base. Mercari says existing listings created before that date "will be updated automatically within a week," so its earlier buyer payment processing fee, which was figured on a total that "includes the item price, shipping, service fee and sales tax," is history (Mercari). That fee was charged to the buyer, not to you.

Why Can Your Mercari 1099-K Be Higher Than What You Were Paid?

Because Mercari reports gross amounts. Form 1099-K is an IRS information return about payments, not a sales tax form. Mercari files one when "you receive more than $20,000 in gross payments AND you complete more than 200 transactions in the calendar year" (Mercari), which matches the federal rule the IRS confirmed in October 2025 (IRS).

What goes into that gross number is the surprise. Mercari says gross payments "include: Total item price, Buyer-paid shipping, Buyer-paid sales tax" (Mercari), while buyer-paid fees, refunds and cancellations are left out. It adds that "seller-paid shipping and Mercari Seller fees are reported as part of the gross item price" (Mercari). So if you reconcile your 1099-K against your deposits, the difference will include Mercari's fees, shipping and sales tax you never received. The Gross Sales Report shows the sales tax separately, which helps you account for it.

Two more points from the IRS:

• States can be lower. "Your state may have a lower reporting threshold for TPSOs, which could result in you receiving a Form 1099-K, even if the total gross payments and transactions did not exceed the federal reporting threshold" (IRS). Mercari's own reporting policy says it files state copies "whenever a seller meets the federal threshold" (Mercari).
• No form doesn't mean no income. "All income, no matter the amount, is taxable unless the tax law says it isn't – even if you don't get a Form 1099-K" (IRS).

Do You Need a Sales Tax Permit if You Only Sell on Mercari?

It depends on the state, and on whether you're based there. Mercari's Terms of Service put the rest on you: "Sellers are responsible for any and all Taxes except to the extent Mercari chooses or is required to calculate, collect, report and remit such Transaction Taxes according to applicable law" (Mercari). The states answer the question differently:

Florida frames it around sales outside the marketplace: marketplace sellers "who have a physical presence in Florida or who make a substantial number of remote sales to Florida customers outside of the marketplace must register as dealers and collect and remit tax on those taxable Florida retail sales made outside of the marketplace" (Florida DOR).

So "Mercari collects the tax" and "you don't need a permit" aren't the same thing. Our guide to whether you need a reseller permit to sell online goes through the marketplace-only versus direct-seller split in more detail.

Do Mercari Sales Count Toward Nexus Thresholds?

In several big states, yes. For a remote seller that sells on its own website and through a marketplace, Texas says "you must include all sales in the safe harbor calculation, including marketplace sales, even if the marketplace provider is collecting and remitting the sales tax" (Texas Comptroller). California counts "your sales facilitated through a marketplace facilitator's marketplace" toward its threshold (CDTFA). New York says marketplace sales "should be included in the calculation" (NY DTF). Washington tells sellers to calculate the threshold "using all of your retail sales to Washington customers, including sales made through a facilitator" (Washington DOR).

This matters most once you also sell outside Mercari, through your own site, Instagram DMs or another channel that doesn't collect for you. Your Mercari volume can push your combined total over a state's line, and then the direct sales are yours to register for and collect on. For out-of-state sellers who sell only through collecting marketplaces, California and Texas generally don't require registration even above the threshold, as the table above shows. Texas makes an exception when a marketplace stores your inventory in Texas and you're above its $500,000 safe harbor (Texas Comptroller). Florida runs the other way and looks at remote sales outside the marketplace. Our multi-state sales tax roadmap and the state nexus guides cover each step.

What About Colorado's Retail Delivery Fee?

Colorado charges a per-order retail delivery fee on top of sales tax, and on Mercari the marketplace handles it. Mercari's page says that since July 1, 2023 it has been "required to charge and collect a Retail Delivery Fee in the amount of $0.28 from our buyers on each Colorado transaction" (Mercari). Colorado's own rate table shows the fee changes each July, and lists $0.31 for July 2026 through June 2027 (Colorado DOR). Mercari's page hasn't caught up, so check your order details for the amount actually charged.

Either way it isn't yours to pay. Colorado says "a marketplace seller who is not liable for sales tax on the sale is also not liable for the retail delivery fee" (Colorado DOR).

Can You Buy Tax-Exempt on Mercari?

Yes, as a buyer. Mercari says it "does accept resale certificates or other sales tax exemptions for purchases on the platform," and that buyers claiming an exemption "must provide the appropriate tax exemption documentation to Mercari for review" (Mercari). Its Terms of Service add that "Buyers may be able to receive a credit for sales tax paid to Mercari directly from your state" (Mercari). If you source inventory on Mercari to resell elsewhere, our guide to resale certificates covers how they work.

Frequently Asked Questions

Does Mercari collect sales tax?

Yes. Mercari calculates, collects, reports and remits sales tax on taxable items shipped to the 45 states with a statewide sales tax and Washington, D.C., at the combined state and local rate of the delivery address. The buyer pays it as a separate line item, and sellers can't opt out.

Does Mercari take sales tax out of my earnings?

No. Sales tax is paid by the buyer and remitted to the state under Mercari's registration. Mercari's net seller proceeds are the item price less seller-paid shipping and Mercari's selling and payment processing fees.

Why does my Mercari 1099-K show more than I was paid?

Because Mercari reports gross amounts: the item price before Mercari's fees, buyer-paid shipping and buyer-paid sales tax, with seller-paid shipping and fees reported as part of the item price. Buyer-paid fees, refunds and cancellations are left out. Mercari files a 1099-K when you receive more than $20,000 and complete more than 200 transactions in a calendar year.

Do I need a sales tax permit if I only sell on Mercari?

It depends on the state and where you're based. California generally doesn't require registration if all of your sales are facilitated by a registered marketplace. Texas doesn't require one from remote sellers with a good-faith certification, but does from sellers based in Texas. New York requires New York-based home businesses to hold a Certificate of Authority and file returns even when the marketplace collects.

Do Mercari sales count toward state sales tax thresholds?

In states such as Texas, California, New York and Washington, yes, even though Mercari collects the tax. That matters most when you also sell outside Mercari, because your combined sales can cross a state's threshold and leave your direct sales for you to collect on.

The Bottom Line for Mercari Sellers

Mercari handles the sales tax on every taxable order it ships into a sales-tax state, so the checkout is covered. What it doesn't do is file your income taxes, decide whether your home state wants a permit from you, or cover anything you sell elsewhere. Reconcile your 1099-K knowing it includes sales tax, check your own state's rule if you're based in Texas, New York or Washington, and add up every channel by state once you sell outside the app.

If you sell on Mercari and anywhere else, run a free Taxero nexus check across your marketplace and direct sales.

This article is for general information only and is not tax, legal, or accounting advice. Rules change and your situation is specific, so consult a tax professional or the state's own guidance.