If your store does more than $100,000.00 in annual sales in the state of Colorado, you are obligated to collect sales tax as well as the state’s new Retail Delivery Fee (RDF). You can learn more about the RDF in our blog post, here.
For stores that use a sales tax collection and reporting services such as TaxJar or Avalara, you should contact them to determine if and how they are collecting this new fee for you.
If you collect and report Colorado sales tax on your own and need to set up your BigCommerce store to collect the new Retail Delivery Fee, you can set up a handling fee by following the instructions below:
- Log into your BigCommerce control panel
- Go to Settings | Shipping
- Click on Add Shipping Zone | Add a Custom Zone
- Create a name such as Colorado RDF for your new zone
- Under type, select Selection of States or Provinces
- For country, select United States
- For state, select Colorado
- Click Handling Fee
- Select Apply a single handling fee to all shipping methods in this zone
- For Handling Fee Type, select Fixed
- Enter the current cost of the RDF, $0.27, in the Handling Fee box
- Click Show handling fee separately in checkout
- Click Submit
Please refer to the video below for a walk-through of this process:
Scott Sanfilippo began his eCommerce journey in 1994 by co-founding one of the Internet’s first online retailers, TheFerretStore.com, which was acquired by PetCo in 2006. In 2001, he co-founded the eCommerce design and marketing firm Solid Cactus, which was acquired by web.com in 2009. Today, Scott is the General Manager of Your Store Wizards and lives in Delray Beach, FL. Scott can be contacted at firstname.lastname@example.org.