Are consignment sales subject to sales and use tax?

Consignment sales are subject to the Sales and Use Tax. The retailer selling the items on consignment is the person responsible for remitting the tax on the consignment sale. For example, if Mr. Smith creates wooden toys and under an agreement with the ABC Crafts Store places his wooden toys in the craft store for sale by the ABC Crafts Store, then ABC Crafts Store is the retailer and responsible for remitting the tax on these sales, even though ABC Crafts Store does not own the wooden toys.