Economic Nexus State by State Chart

As of 4/1/2024

Every state with a sales tax has economic nexus requirements for remote out-of-state sellers following the 2018 South Dakota v. Wayfair decision. Economic nexus generally requires out-of-state sellers to register and collect and remit sales tax once they meet a set level of sales or number of transactions within a state.

Key tenants of economic nexus rules are summarized for each state below. Click the links under the “More Information” column for more details about the enacted legislation. Click on the state name to see all of the news items we’ve published for that state.

Note on “Includable Sales”: gross sales includes all sales including sales for resale, taxable, and exempt sales; retail sales do not include sales for resale; taxable sales excludes any nontaxable sales regardless of reason.

State Effective Date Threshold Measurement Date Includable Sales (Gross, Retail, or Taxable) When You Need to Register Once You Exceed the Threshold More Information
Alabama

October 1, 2018

$250,000 + specified activities

Previous calendar year

Retail sales

Marketplace sales excluded from the threshold for individual sellers

January 1 following the year the threshold is exceeded

Alabama Economic Nexus >

Alaska

The Alaska Remote Seller Sales Tax Commission passed its “Remote Seller Sales Tax Code & Common Definitions” that would apply to local municipalities in Alaska that choose to adopt it. See our news update for the full list of municipalities that have adopted the code.

Per Remote Seller Sales Tax Code & Common Definitions: $100,000 or 200 transactions

Per Remote Seller Sales Tax Code & Common Definitions: Previous calendar year

Per Remote Seller Sales Tax Code & Common Definitions: Gross sales

Marketplace sales included towards the threshold for individual sellers.

The first day of the month following 30 days from adoption by the city or borough

Alaska Remote Seller Sales Tax Commission Economic Nexus Rules >

Arizona

October 1, 2019

$200,000 in 2019; $150,000 in 2020; and $100,000 in 2021 and thereafter

Previous or current calendar year

Gross sales

Marketplace sales excluded from the threshold for individual sellers

The seller must obtain a TPT license once the threshold is met and begin remitting the tax on the first day of the month that starts at least thirty days after the threshold is met for the remaining of the current year and the next calendar year.

Arizona Economic Nexus >

Arkansas

July 1, 2019

$100,000 or 200 or more separate transactions

Previous or current calendar year

Taxable sales

Marketplace sales excluded from the threshold for individual sellers

Next Transaction after meeting the threshold

Arkansas Economic Nexus >

California

April 1, 2019

$500,000*

*California enacted legislation that raised the sales threshold and removed the number of transactions threshold on April 25, 2019.

Preceding or current calendar year

Gross sales of tangible personal property

Marketplace sales included towards the threshold for individual sellers

The day you exceed the threshold

California Economic Nexus >

California has limited the lookback period for certain marketplace sellers with uncollected taxes when inventory was stored in the state, for more information, visit our news item >

Colorado

December 1, 2018 with grace period through May 31, 2019*

*If not registered as of December 1, 2018, subject to notice and reporting

$100,000*

*Colorado removed its 200 transactions threshold by permanent rules, effective April 14, 2019.

Previous or current calendar year

Retail sales

Marketplace sales excluded from the threshold for individual sellers

The first day of the month after the ninetieth day the retailer made retail sales in the current calendar year that exceed $100,000

Colorado Economic Nexus >

Connecticut

December 1, 2018

$250,000 and 200 transactions

$100,000 and 200 transactions – applicable to sales on or after July 1, 2019*

*Connecticut lowered its dollar threshold from $250,000 to $100,000, keeping the number of transactions the same, effective July 1, 2019.

12-month period ending on September 30

Retail sales

Marketplace sales included towards the threshold for individual sellers

October 1 of the year in which you cross the threshold on September 30

Connecticut Economic Nexus >

Delaware

N/A

N/A

N/A

N/A

N/A

No sales tax

District of Columbia

January 1, 2019

$100,000 or 200 or more separate retail sales

Previous or current calendar year

Retail sales

Marketplace sales included towards the threshold for individual sellers

Next transaction

D.C. Economic Nexus >

Florida

July 1, 2021*

*Affected sellers not previously registered are relieved of tax liability, penalty, and interest due on remote sales that occurred before July 1, 2021 as long as they register by September 30, 2021

$100,000

Previous calendar year

Taxable sales

Marketplace sales excluded from the threshold for individual sellers

First of calendar year after you meet the threshold

Florida Economic Nexus >

Georgia

January 1, 2019

January 1, 2020

$250,000 or 200 or more sales (effective January 1, 2019 through January 1, 2020)

$100,000 or 200 or more sales*

*Georgia enacted legislation in April 2019 that lowered the sales threshold to $100,000, but kept the 200 transactions threshold unchanged, effective January 1, 2020.

Previous or current calendar year

Retail sales of tangible personal property delivered electronically or physically, whether taxable or exempt

Marketplace sales excluded from the threshold for individual sellers

Next Transaction after meeting the threshold

Georgia Economic Nexus >

Hawaii

July 1, 2018 and applies to taxable years beginning after December 1, 2017

$100,000 or more or 200 or more separate transactions

Current or immediately preceding calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

The first of the month following when the threshold is met.

Hawaii Economic Nexus >

Idaho

June 1, 2019

$100,000

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

Next transaction (state doesn’t specify)

Idaho Economic Nexus >

Illinois

October 1, 2018

$100,000 or more or 200 or more separate transactions

Preceding 12-month period

Retail sales

Marketplace sales excluded from the threshold for individual sellers

The retailer shall determine on a quarterly basis whether they meet the criteria for the preceding 12-month period

Illinois Economic Nexus >

Indiana

October 1, 2018

$100,000

*Indiana removed its 200 transactions threshold, effective January 1, 2024.

The calendar year in which the retail transaction is made or for the calendar year preceding the calendar year in which the retail transaction is made.

Gross sales

Marketplace sales excluded from the threshold for individual sellers

Next Transaction after meeting the threshold

Indiana Economic Nexus >

Iowa

January 1, 2019

$100,000 – effective July 1, 2019*

$100,000 or 200 or more separate transactions prior to July 1, 2019

*Iowa removed its 200 transactions threshold on May 3, 2019. Effective July 1, 2019, only the $100,000 threshold applies to remote sellers, marketplace facilitators, and referrers.

Current or immediately preceding calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

The first day of the next calendar month that starts at least 30 days from the day the remote seller first exceeded the threshold

Iowa Economic Nexus >

Kansas

July 1, 2021*

* The Kansas DOR released a notice on August 1, 2019 stating that any remote seller that sells tangible personal property or services into the state must register and begin collecting tax by October 1, 2019. The state did not specify a sales or transactions threshold. Kansas has since passed economic nexus legislation, effective July 1, 2021.

$100,000

Current or immediately preceding calendar year*

*Only for calendar year 2021 sales since January 1, 2021

Gross sales*

Marketplace sales included towards the threshold for individual sellers

*For marketplace facilitators, it is taxable instead of gross per Notice 21-14.

Next transaction

Kansas Economic Nexus >

Kentucky

October 1, 2018

$100,000 or 200 or more separate transactions

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

First of the month following 30 days after the threshold is met (60 days eff. 7/1/2021)

Kentucky Economic Nexus >

Louisiana

July 1, 2020

$100,000

* Louisiana transaction threshold dropped as of August 1, 2023

Previous or current calendar year

Retailsales

Marketplace sales excluded from the threshold for individual sellers

Within 30 days of exceeding the threshold, the remote seller must submit an application to the Louisiana Remote Seller Commission and must begin collecting state and local sales and use tax based upon actual applicable bases and rates on sales for delivery into Louisiana within 60 days.

Louisiana Economic Nexus >

Maine

July 1, 2018

$100,000* or 200 transactions

*Maine enacted legislation on June 11, 2021 to remove the 200 transaction count threshold from the state’s economic nexus rules for remote sellers effective January 1, 2022.

Previous or current calendar year

Gross sales

Marketplace sales excluded from the threshold for individual sellers and don’t include marketplace sales on return if reported by marketplace

First day of the first month that begins at least thirty days after the seller has exceeded the threshold.

Maine Economic Nexus >

Maryland

October 1, 2018

$100,000 or 200 or more separate transactions

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

First day of the month following when threshold is met

Maryland Economic Nexus >

Massachusetts

October 1, 2017

October 1, 2019

$500,000 and 100 or more transactions

$100,000*

*Massachusetts enacted legislation on August 1, 2019 to change it’s thresholds. Effective October 1, 2019, the threshold will be $100,000 and no transaction threshold.

Previous or current calendar year

Gross sales

Marketplace sales excluded towards the threshold for individual sellers if the marketplace facilitator is collecting

First day of the first month that starts two months after the month in which the remote retailer first exceeded the $100,000 threshold, in the first year that it exceeds the threshold

Massachusetts Economic Nexus >

Michigan

October 1, 2018

$100,000 or 200 or more separate transactions

Previous calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

January 1 following the year the threshold is exceeded

Michigan Economic Nexus >

Minnesota

October 1, 2018

October 1, 2019

$100,000 and 10 sales or 100 transactions

$100,000 or 200 or more  retail sales*

*Minnesota has changed its thresholds. Effective October 1, 2019, the thresholds will be $100,000 or 200 transactions.

The twelve-month period ending on the last day of the most recently completed calendar quarter

Retail sales

Marketplace sales included towards the threshold for individual sellers

First day of the calendar month occurring no later than 60 days after meeting or exceeding the threshold

Minnesota Economic Nexus >

Mississippi

September 1, 2018

More than $250,000

Prior twelve-month period

Gross sales

Marketplace sales excluded from the threshold for individual sellers

Next transaction

Mississippi Economic Nexus >

Missouri

1/1/2023

$100,000

Previous twelve-month period reviewed quarterly

Taxable sales of tangible personal property – including marketplace sales

No later than 3 months following the close of the quarter when threshold was exceded

Missouri Economic Nexus >

Montana

N/A

N/A

N/A

N/A

N/A

No sales tax

Nebraska

January 1, 2019 (administrative announcement)

April 1, 2019 (enacted legislation)

$100,000 or 200 or more separate transactions

Previous or current calendar year

Retail sales

Marketplace sales included towards the threshold for individual sellers

The first day of the second calendar month after the threshold was exceeded

Nebraska Economic Nexus >

Nevada

November 1, 2018

$100,000 or 200 or more separate transactions

Previous or current calendar year

Retail sales

Marketplace sales included towards the threshold for individual sellers

By the first day of the calendar month that begins at least 30 calendar days after they hit the threshold

Nevada Economic Nexus >

New Hampshire

N/A

N/A

N/A

N/A

N/A

No sales tax

New Jersey

November 1, 2018

$100,000 or 200 or more separate transactions

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

Required to collect on first taxable sale, 30 day grace period to register

New Jersey Economic Nexus >

New Mexico

July 1, 2019

$100,000

Previous calendar year

Taxable sales

Marketplace sales excluded from the threshold for individual sellers

January 1 following the year the threshold is exceeded

New Mexico Economic Nexus >

New York

June 21, 2018, the date of the Wayfair decision

$500,000 in sales of tangible personal property and more than 100 sales*

*New York raised its economic nexus threshold from $300,000 to $500,000 on June 24, 2019. The number of transactions thresholds remains the same at 100 sales.

Immediately preceding four sales tax quarters

Gross receipts from sales of tangible personal property

Marketplace sales included towards the threshold for individual sellers

Register within 30 days after meeting the threshold and begin to collect tax 20 days thereafter

New York Economic Nexus >

North Carolina

November 1, 2018

$100,000 or 200 or more separate transactions*

*North Carolina removed its economic nexus threshold for marketplace facilitators, effective July 1, 2020.

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

Next transaction*

*Update based on the 2021 SST Disclosed Practice 8 submitted by the state; this has changed from 60 days to next transaction

North Carolina Economic Nexus >

North Dakota

October 1, 2018

$100,000* 

*North Dakota removed its 200 transactions threshold effective for tax years beginning after December 31, 2018.

Previous or current calendar year

Taxable sales

Marketplace sales excluded from the threshold for individual sellers

The following calendar year or 60 days after the threshold is met, whichever is earlier

North Dakota Economic Nexus >

Ohio

January 1, 2018

August 1, 2019

$500,000

$100,000 or 200 or more separate transactions*

*Ohio lowered its threshold from $500,000 to $100,000 or 200 transactions effective August 1, 2019.

Previous or current calendar year

Retail* sales

Marketplace sales included towards the threshold for individual sellers

*Clarification and update based on the 2021 SST Disclosed Practice 8 submitted by the state

Next day after meeting the threshold

Ohio Economic Nexus >

Oklahoma

November 1, 2019

$100,000 in aggregate sales of TPP

Preceding or current calendar year

Taxable sales

Marketplace sales excluded from the threshold for individual sellers

The first calendar month following the month when the threshold is met

Oklahoma Economic Nexus >

Oregon

N/A

N/A

N/A

N/A

N/A

No sales tax

Pennsylvania

April 1, 2018 for collection or notice and reporting option


July 1, 2019

$10,000 or comply with the notice and reporting requirements


$100,000

Previous 12-month period


Prior calendar year and then starting in the 2nd quarter – collection period 7/1/19 through 3/31/20 using CY 2018; and then collection period 4/1/20-3/31/21 using calendar year 2019

Taxable sales


Gross sales on all channels including taxable, exempt, and marketplace sales

Notice: On or before June 1 of each calendar year

Mandatory economic: April 1 following the calendar year when threshold was exceeded

Pennsylvania Notice & Reporting > 


Pennsylvania Economic Nexus >

Puerto Rico

January 1, 2021

$100,000 or 200 or more separate transactions

Seller’s accounting/fiscal year

Gross sales

Marketplace sales excluded from the threshold for individual sellers

Next transaction

Puerto Rico Economic Nexus >

Rhode Island

August 17, 2017 – register or comply with notice (through June 30, 2019); July 1, 2019 – mandatory registration

$100,000 or 200 or more separate transactions

Immediately preceding calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

January 1 following the year the threshold is exceeded

Rhode Island Economic Nexus >

South Carolina

November 1, 2018

$100,000

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

The first day of the second calendar month after economic nexus is established

South Carolina Economic Nexus >

South Dakota

November 1, 2018

$100,000 or 200 or more separate transactions

* South Dakota transaction threshold dropped as of July 1, 2023

Previous or current calendar year

Gross revenue

Marketplace sales included towards the threshold for individual sellers

Next transaction

South Dakota Economic Nexus >

Tennessee

October 1, 2019

$500,000*

$100,000 starting October 1, 2020**

*Tennessee enacted legislation on May 21, 2019 that authorizes the DOR to enforce its economic nexus rule, effective July 1, 2019. However, the state will not require out-of-state sellers to collect tax until October 1, 2019.

**Tennessee passed legislation that lowers the economic nexus threshold from $500,000 to $100,000, effective October 1, 2020.

Previous 12-month period

Retail sales

Marketplace sales excluded from the threshold for individual sellers effective October 1, 2020

The first day of the third month following the month in which the dealer met the threshold, but no earlier than July 1, 2017

Tennessee Economic Nexus >

Texas

October 1, 2019

$500,000

Preceding twelve calendar months

Gross revenue: including taxable, nontaxable, and tax-exempt sales

Marketplace sales included towards the threshold for individual sellers

The first day of the fourth month after the month in which the seller exceeded the safe harbor threshold

Texas Economic Nexus >

Utah

January 1, 2019

$100,000 or 200 or more separate transactions

Previous or current calendar year

Gross sales

Marketplace sales excluded from the threshold for individual sellers

Next transaction (state doesn’t specify)

Utah Economic Nexus >

Vermont

July 1, 2018

$100,000 or 200 or more separate transactions

Prior four calendar quarters

Gross sales

Marketplace sales included towards the threshold for individual sellers

First of the month after 30 days from the end of the quarter that you exceed the threshold

Vermont Economic Nexus >

Virginia

July 1, 2019

$100,000 or 200 or more separate transactions

Previous or current calendar year

Retail sales

Marketplace sales excluded from the threshold for individual sellers

Next transaction (state doesn’t specify)

Virginia Economic Nexus >

Washington

January 1, 2018 for collection or notice and reporting option


October 1, 2018

$10,000 or comply with the notice and reporting requirements


Gross income of the business exceeding $100,000*

*October 1, 2018 through December 31, 2019, sellers with 200 or more separate transactions into Washington must collect. However, effective March 14, 2019 the threshold will only be $100,000. The state removed the 200 transactions threshold. 

Current or preceding calendar year


Current or preceding calendar year

Retail sales


Gross sales*

Marketplace sales included towards the threshold for individual sellers

*October 1, 2018 through December 31, 2019, Washington used a retail sales standard. Effective January 1, 2020 it became a gross income standard.

The first day of the month that starts at least 30 days after you meet the threshold


The first day of the month that starts at least 30 days after you meet the threshold

Washington Notice & Reporting >


Washington Economic Nexus >

West Virginia

January 1, 2019

$100,000 or 200 or more separate transactions

Preceding or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers

Next transaction (state doesn’t specify)

West Virginia Economic Nexus >

Wisconsin

October 1, 2018

$100,000* 

*Wisconsin removed its 200 transactions threshold effective February 20, 2021.

Previous or current calendar year

Gross sales

Marketplace sales included towards the threshold for individual sellers – but if all sales are made through a marketplace that is collecting, the individual seller is not required to register

Next transaction

Wisconsin Economic Nexus >

Wyoming

February 1, 2019

$100,000 or 200 or more separate transactions

*Wyoming enacted legislation that removed the number of transactions threshold as of July 1, 2024.

Previous or current calendar year

Gross sales

Marketplace sales excluded from the threshold for individual sellers

Next transaction

Wyoming Economic Nexus >