Sales Tax Policy

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Sales Tax Policy

This Sales Tax Policy explains how sales tax is applied to purchases made through Y-Containers within the United States.

Because our products involve high-value equipment, shipping containers, and Tiny House Capsules with freight delivery, sales tax treatment depends on delivery location, buyer status, and applicable state regulations.

By ordering from us, you agree to these terms.


1. When Sales Tax Is Collected

Sales tax is applied only where legally required under U.S. state and local tax laws.

Y-Containers collects sales tax in states where we have sales tax nexus, which may include:

  • Physical presence (such as offices, warehouses, or operational facilities)

  • Economic nexus thresholds based on transaction volume or revenue (e.g., $100,000 in sales or 200 transactions annually, per South Dakota v. Wayfair, 2018)

  • Agent or representative activities within a state

Sales tax, when applicable, is calculated based on the delivery address, not the billing address, per U.S. destination-based tax rules.


2. States Where Sales Tax May Apply

As an Illinois-based company with operational facilities in Illinois:

  • Illinois sales tax is generally applied to taxable transactions delivered within the state, unless a valid exemption applies.

  • For deliveries to other U.S. states, sales tax may apply depending on:

    • State-specific nexus rules

    • Product taxability classifications

    • Transaction thresholds

We continuously monitor state tax obligations to remain compliant. As our business grows, we may establish nexus in additional states, and sales tax collection will be updated accordingly.

Note: Five states—Alaska, Delaware, Montana, New Hampshire, and Oregon—have no statewide sales tax, though local taxes may apply in Alaska.


3. Tax Calculation & Checkout Display

  • Applicable sales tax is calculated automatically at checkout or reflected on the official invoice.

  • Tax is displayed clearly and separately from product price and shipping charges.

  • No hidden or post-checkout tax adjustments are applied.

  • For custom orders (including Tiny House Capsules), tax applies to the full price including modifications, unless exempt.

This ensures transparency for both customers and compliance platforms.


4. Tax-Exempt Purchases

Certain buyers may qualify for sales tax exemption, including but not limited to:

  • Resellers

  • Government agencies

  • Non-profit organizations

  • Agricultural or industrial exemptions (where applicable)

Requirements for exemption:

  • A valid, state-approved sales tax exemption certificate or reseller permit

  • Certificate must be submitted before payment is completed by emailing sales@y-containers.com

  • Certificates are reviewed and verified within 2–3 business days prior to tax removal

If valid documentation is not provided in advance, sales tax will be charged and cannot be retroactively removed.


5. Product Taxability Clarification

Sales tax applicability may vary depending on:

  • Product category (e.g., shipping containers, Tiny House Capsules, accessories)

  • Intended use

  • State-specific tax classifications for tangible personal property

Shipping containers, modified containers, Tiny House Capsules, and related equipment are generally considered taxable tangible goods in many jurisdictions, but exemptions or reduced rates may apply in specific cases.


6. Freight & Delivery Charges

  • Shipping and freight charges may be taxable or non-taxable depending on state law.

  • Where required, tax is applied to delivery charges in compliance with local regulations.

  • Tax treatment of freight is disclosed clearly on the invoice.


7. Customer Responsibility & Accuracy

Customers are responsible for:

  • Providing accurate delivery information

  • Submitting valid exemption documentation where applicable

  • Understanding their own tax obligations for their jurisdiction

We make every effort to ensure tax accuracy; however, tax laws are subject to change. Y-Containers reserves the right to adjust tax collection practices to remain compliant with evolving regulations.


8. Sales Tax Collection and Remittance

  • Collection: We collect sales tax on behalf of state and local governments as required by law.

  • Remittance: Collected taxes are remitted to the appropriate tax authorities on a monthly or quarterly basis, depending on state requirements.

  • Records: We maintain records of tax collected for compliance and auditing purposes, per IRS and state guidelines.


9. Refunds and Sales Tax

  • Order Cancellations: If you cancel an order and receive a refund, the sales tax portion will be refunded, minus any non-refundable fees (see Refund Policy).

  • Returns: For defective or incorrect items, sales tax is refunded with the purchase price, per U.S. consumer protection standards.


10. Changes to This Policy

We may update this Sales Tax Policy due to changes in U.S. tax laws, our business operations, or nexus status. The latest version will be posted on our website with an updated effective date.


11. Contact Us

If you have questions or need further clarification about our sales tax policies, please reach out to our Customer Service team. We are here to assist you and provide a clear understanding of our sales tax procedures.

  • Email: sales@y-containers.com

  • Phone: +1 (331) 255-6346

  • Address: 1075 Township Road 1950 East, Smithshire, IL 61478, USA


At Y-Containers, we are committed to transparency in our business practices. Our sales tax policy is designed to ensure a straightforward and reliable shopping experience for all our customers.

Thank you for choosing Y-Containers.