What Does Sales Sourced to WV Mean?

Sales Tax in West Virginia
The general rule is that the transaction is sourced to the location where the purchaser receives the tangible personal property purchased or makes first use of the service purchased. The hierarchy of sourcing rules is found in West Virginia Code ยง 11-15B-15(a).

WV Sales and Tax Exemptions
Consequently, West Virginia does not have sales tax on groceries. The sales tax and use tax on food and food ingredients intended for human consumption has ceased. Sales sourced to WV means sales are from West Virginia. Exempt sales include advertising, prescription medicine, groceries, and gasoline. Sales tax applies to tangible goods and most services.

Sales and Use Tax Information
The state sales tax rate in West Virginia is 6%. Some local taxes add 0-1%. Most businesses in West Virginia need an annual resale certificate to collect sales tax, including online sellers. A resale certificate allows collecting tax. Sales volume variance can show a company’s performance as the difference between actual and expected sales units. Positive variance means more sales than expected, and negative variance means fewer sales than expected. West Virginia is a member of the Streamlined Sales and Use Tax Agreement to simplify sales tax rules and administration.

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