Your company may be required to pay state sales tax when shipping items out-of-state, even when you don't have a presence in that state. In this case, you can create a geocode for just that state's state tax and then set up a tax override that points to this geocode whenever an order is shipped to that state.
Use the Ship-to State Geocode Overrides screen to identify a geocode to be used as an override whenever an order is shipped from your company to any location within a particular state.
To pay state tax on out-of-state shipments:
From the Maintenance > Tax, Duty and Exchange Rates > National Sales Tax menu, select Ship-To State Geocode Overrides to display the Ship-To State Geocode Overrides screen.
Note: If prompted, log on to the character-based system.
In the State field, enter the state for which you want to assign a single geocode as a tax override.
In the Geocode field, enter the geocode to be used for calculating the tax for any order shipped to the state.
See Also:
Defining Freight/Handling Taxability for States