If you're setting a tax policy for a U.S.-based website with a tax rate of 6.5%, here are some key points to consider:

1. Determine Taxability

- Check if your products or services are taxable in the states where you have a tax obligation (nexus).

- Some states tax digital products, services, or subscriptions, while others don’t.

2. Nexus Rules

- Your business may have nexus (a tax presence) in certain states based on physical location, sales volume, or economic activity.

- For example, if your website sells to customers in multiple states, you might need to collect sales tax in each state where you have nexus.

3. Sales Tax Collection

- If you have nexus in a state, you'll need to collect 6.5% sales tax (or the applicable rate) at checkout.

- Use automated tax calculation software (like TaxJar or Avalara) to ensure accurate tax collection.

4. Exemptions

- Some customers (e.g., non-profits, government agencies) may be exempt from sales tax.

- You'll need to collect valid exemption certificates to process these transactions correctly.

5. Report and Remittance

- File sales tax returns regularly (monthly, quarterly, or annually) based on your state's requirements.

- Remit the collected tax to the appropriate state tax authority.

6. Website Configaration

- Ensure your e-commerce platform supports sales tax automation.

- Clearly display tax amounts at checkout to maintain transparcy