"Nexus" is the legal term for a sufficient business connection to a state that requires a seller to collect and remit that state's sales tax. The Phone Supply Co. may have nexus in a state due to physical presence (offices, employees, or warehouse/fulfillment operations) or economic activity (exceeding a state's sales or transaction thresholds under economic nexus laws).

Our Physical Locations

The Phone Supply Co. is registered in Iowa and operates fulfillment and distribution from multiple U.S. locations. Our registered business address and known fulfillment locations are listed below:

Economic Nexus

Following the U.S. Supreme Court ruling in South Dakota v. Wayfair, Inc. (2018), nearly all U.S. states have enacted economic nexus laws. These laws require out-of-state sellers to collect sales tax once they exceed a state's economic threshold — typically $100,000 in annual sales or 200 transactions within that state in a calendar year (thresholds vary by state).

The Phone Supply Co. monitors its sales volume in every state and collects sales tax in any state where we have established physical or economic nexus, in full compliance with applicable laws. As our business grows, additional states may be added to our tax-collection obligations.

The Phone Supply Co. sells phone accessories and consumer electronics, including but not limited to: phone cases and screen protectors, charging cables and wall chargers, wireless chargers and power banks, Bluetooth speakers and headphones, earbuds and audio accessories, and other mobile device accessories.

In the majority of U.S. states, tangible personal property — including consumer electronics and accessories — is taxable. However, the taxability of specific product categories can vary by state. Below is a general summary of how our product categories are typically treated:

Sales tax on your order is calculated based on the ship-to address (the delivery address you provide at checkout), not your billing address. This is known as destination-based sourcing and is the standard used by most U.S. states for online retail transactions.

Destination-Based vs. Origin-Based States

Most U.S. states use destination-based sourcing, meaning the tax rate applied is the rate at the buyer's shipping address — including the state rate plus any applicable county, city, or special district rates. A small number of states use origin-based sourcing, meaning the rate is based on the seller's location. Our tax engine correctly identifies which method applies for each state.

Combined Tax Rates

The final tax rate applied to your order can be a combination of multiple rate components:

• State sales tax rate — the base rate set by the state legislature
• County/parish tax rate — additional rate levied by the county or parish
• City/municipal tax rate — additional rate levied by the city or municipality
• Special district rate — rates for transit districts, sports/stadium districts, or other special purpose entities

These rates are combined and applied to the taxable portion of your order subtotal. The combined rate displayed at checkout is the total effective rate for your specific delivery address.

We believe in full pricing transparency. Sales tax is never hidden — it is calculated and displayed clearly before you complete your purchase. Here is what to expect at each stage:

Your Order Receipt

After placing your order, you will receive an order confirmation email with a complete breakdown of your purchase, including the exact sales tax collected. You can also view this information at any time by logging into your account at thephonesupplyco.com or by contacting us for a copy of your receipt.

Below is a detailed state-by-state reference covering general sales tax rules, economic nexus thresholds, and notes relevant to our product categories. This table covers all 50 U.S. states and the District of Columbia. Rates shown are the statewide base rate; local rates may add additional amounts.

State rates shown are the statewide base rate only. Your actual tax rate may be higher depending on your specific county, city, and special district. The actual amount collected will always be displayed clearly before you complete checkout.

Certain customers or organizations may qualify for sales tax exemption under applicable state law. Common categories include non-profit organizations with tax-exempt status, government agencies, qualifying resellers purchasing for resale, and certain educational institutions.

How to Request a Tax Exemption

If you believe your purchase qualifies for a sales tax exemption, you must contact us before placing your order. We cannot retroactively remove tax from completed orders except where required by law. To apply for tax-exempt status on your account:

• Email us at support@thephonesupplyco.com with the subject line "Tax Exemption Request"
• Include your full legal name or organization name, state, and the nature of your exemption
• Attach a copy of your valid state-issued tax exemption certificate
• Provide your resale certificate number if you are purchasing for resale

We will review your documentation and, if approved, apply the exemption to your account before you place your order. Exemption certificates must be renewed when they expire, and we reserve the right to request updated documentation.

Sales Tax Holidays

Several U.S. states periodically hold sales tax holidays during which certain product categories are temporarily exempt from state and sometimes local sales tax. Common occasions include back-to-school periods and emergency preparedness events. States that have historically held sales tax holidays that may cover electronics or accessories include Alabama, Arkansas, Florida, Iowa, Missouri, Texas, and others.

When a verified sales tax holiday is in effect in a state where we have nexus, our tax engine will automatically apply the applicable exemption for qualifying products during that period. We do not guarantee the availability of sales tax holiday pricing in advance, as these events are enacted by state legislatures and can change. Check your state's department of revenue website for current year schedules.

The Phone Supply Co. collects sales tax on behalf of state and local tax authorities in all states where we have established nexus. The tax you pay at checkout is not revenue for our business — it is held in trust and remitted directly to the appropriate government agency.

Our Remittance Process

• Sales tax collected is reported and remitted on a schedule determined by each state (monthly, quarterly, or annually based on sales volume)
• We register with each state's taxing authority prior to collecting tax in that state
• We use Shopify's tax reporting tools to generate accurate filings for each jurisdiction
• Tax collected is remitted to the appropriate state and local tax authorities in full — we do not retain any portion of collected tax

New Nexus States

As our business grows, we continuously monitor our sales volume in every state. When we reach the economic nexus threshold in a new state, we register with that state's tax authority and begin collecting tax on subsequent orders. We will not retroactively collect tax for periods before our nexus obligation arose. If you placed an order before we established nexus in your state, no tax was required to be collected and none was charged.

Whether shipping charges are subject to sales tax depends on the laws of the destination state. The treatment of shipping charges varies significantly across U.S. states. Below is a summary of how this applies to orders at The Phone Supply Co.:

Our tax engine applies the correct treatment for shipping charges in each state automatically. Shipping charges are separately stated on all orders at The Phone Supply Co. You can review our Shipping Policy for full details on our shipping rates and methods.

When a return is processed and a refund is issued, we refund the sales tax that was originally collected on the returned item(s), in accordance with applicable state laws. Tax refunds are processed as part of our standard return and refund process.

How Tax Refunds Work

• If you return an eligible item within our 30-day return window, the sales tax charged on that item will be included in your refund
• If only part of an order is returned, only the tax attributable to the returned items is refunded
• Refunds are issued to the original payment method
• Shipping charges paid are generally non-refundable and the tax collected on them (where applicable) is also non-refundable, unless the return is due to our error

For full details on our return process, eligibility requirements, and how to initiate a return, please visit our Return & Refund Policy.

Every order placed at The Phone Supply Co. generates a detailed order confirmation and receipt that clearly shows:

• The individual price of each item purchased
• The subtotal before tax
• The total sales tax collected, broken down if multiple jurisdictions apply
• Any shipping charges and applicable tax on shipping
• The grand total charged to your payment method
• The business name: The Phone Supply Co., operated by The Illustrious King Limited Co.
• Our registered address: 95 Front St., Robins, IA 52328

Requesting a Duplicate Receipt

If you need a copy of your order receipt or a formal tax invoice for any purpose (expense reporting, business tax filings, etc.), you can obtain one by:

• Logging into your account at thephonesupplyco.com and viewing your order history
• Emailing us at support@thephonesupplyco.com with your order number and request
• Calling us at +1 (319) 775-5011 during business hours

We retain transaction records as required by law and are happy to provide receipts for any order placed through our store.

Sales tax laws in the United States are updated frequently by state legislatures, courts, and revenue departments. We review and update this Sales Tax Policy on a regular basis to ensure it remains accurate and reflects current legal requirements.

When we make material changes to this policy, we will update the "Effective Date" shown at the top of this page. We encourage you to review this policy periodically, particularly if you are a business customer or frequently purchase from us across multiple states.

Changes to state tax rates, nexus thresholds, or product taxability rules take effect automatically through our Shopify tax engine at the time those changes become law — you do not need to take any action. The tax calculated at your checkout always reflects current rules for your delivery address.

If you have any questions about how sales tax applies to your order, believe a tax was applied in error, need documentation for a tax-exempt purchase, or have any other tax-related inquiries, our customer support team is ready to help.