Hi cheryl, im new here so take my advice with a grain of salt and please consult a higher level user or tax professional for clarification. the answer to your question is yes you have to pay retail taxes but it depends on your state are you coded as an mlm resaler, i know in Il you have to be registered with the il dept of revenue online and that you have to make estimated payments once you hit $600 dollars, so you are way above the threshhold, kudos for your quick thinking and getting ahead of your taxes trying to do the same myself