Sale Tax Filing and Import

[ndc24075]

My company is purchasing some computer equipment from a foreign company. The trade condition is EXW and I would like to know whether importing the equipment in Maryland's airport (say BWI) or warehouse for storage will result in obligation for Maryland's sale tax even though my company will bring it to use in Delaware eventually. Thanks.

[DaveF1006]

According to the state of Maryland, it states in its website that the 6% sales and use tax applies to all tangible property, taxable services, and digital products and digital code that you possess and use in Maryland, no matter where you purchased it.

[ndc24075]

@DaveF1006So does this mean that if the property is only temporarily in storage for shipment to another state, it should be exempt from Maryland state tax because it is not considered "for use"?

[DaveF1006 · Accepted solution]

No. In careful examination of what is written above, the sales tax is applied if you intend to possess and use in Maryland. If you do not use it in Maryland and stays in the crate, the 6% sales tax should not apply.