Sales tax economic nexus checker

Check your economic nexus status

Thresholds verified against each state's Department of Revenue and the Sales Tax Institute's economic nexus guide. This is a 2026 estimate of a single state's rule; states change thresholds by statute, so confirm the current figure at the official link before you rely on it.

What is economic nexus for sales tax?

Economic nexus is a rule that lets a state require you to collect its sales tax based purely on how much business you do there, with no office, warehouse, or employee required. It comes from the 2018 Supreme Court case South Dakota v. Wayfair, Inc., which upheld South Dakota's law requiring any remote seller with more than $100,000 in sales, or 200 or more transactions, into the state to register and collect its tax. Every state with a sales tax has since adopted its own version. Cross a state's threshold and you owe tax there going forward, even if you have never set foot in it.

How do I know if I've crossed a state's threshold?

Add up your sales delivered into that specific state over the state's measurement window, most commonly the current or previous calendar year, and compare the total to that state's dollar figure. If the state also counts transactions, count your separate sales into that state over the same window and compare that number too. Most states use "or" logic: crossing either the dollar figure or the transaction count creates nexus. A couple of states, Connecticut and New York, require both to be crossed at once ("and" logic). Check your numbers by state a few times a year, quarterly is reasonable for a growing business, since the moment you cross a threshold you are expected to register, not wait for the state to notice.

What is the economic nexus threshold in each state for 2026?

The table below lists the 2026 threshold for every state that levies a sales tax, plus the District of Columbia. Most states settled on $100,000 in sales; California, Texas, and New York use $500,000. Mississippi and Alabama sit at $250,000. Alaska has no state sales tax, but is included because its municipalities jointly enforce a $100,000 local threshold through the Alaska Remote Seller Sales Tax Commission (ARSSTC). New Hampshire, Oregon, Montana, and Delaware are excluded entirely: they have no sales tax of any kind, state or local.

Source: each state's Department of Revenue remote-seller page (linked in Sources below) and the Sales Tax Institute's Economic Nexus State Guide. Reviewed 2026-08-30.

Do transaction counts still count, or only dollars?

It depends on the state, and this is the part that changes most often. The original Wayfair-era template was $100,000 in sales or 200 transactions. Since 2019, more than a dozen states have dropped the transaction count entirely, including South Dakota itself (the state from the Supreme Court case, which removed it effective July 1, 2023), plus California, Texas, Illinois, Indiana, Iowa, Kentucky, Louisiana, Maine, North Carolina, North Dakota, Utah, Wisconsin, and Wyoming. States that still count transactions alongside dollars include Arkansas, Georgia, Hawaii, Maryland, Michigan, Minnesota, Nebraska, Nevada, New Jersey, Ohio, Rhode Island, Vermont, Virginia, and West Virginia, plus Washington, DC. Connecticut and New York go further and require both a dollar figure and a transaction count to be crossed together. A seller with many small orders and modest revenue could clear a transaction-count state's threshold well before hitting six figures in sales, so check the specific state's logic rather than assuming a single national rule.

What happens once I cross the threshold?

You register with that state's Department of Revenue (or equivalent agency, sometimes called a Comptroller or Tax Commission), then start collecting and remitting sales tax on your taxable sales delivered there. Most states give a short grace period, commonly 30 days, between crossing the threshold and being required to collect; a handful, like DC, expect collection to start immediately. Waiting until year-end to check your numbers is how sellers end up owing back tax, penalties, and interest on sales they never collected tax on in the first place. See Do you need a sales tax permit? for the full registration picture, including physical nexus.

Does it matter if my sales are exempt or through a marketplace?

Both can change your number. Most states measure the threshold on gross sales, meaning exempt and wholesale sales count toward it even though you would not collect tax on them; a handful (Arizona, Florida, Missouri, New Mexico, North Dakota, and Oklahoma among them) count only taxable sales. Marketplace sales are the bigger wrinkle: in most states, sales made through a marketplace facilitator like Amazon or Etsy still count toward your own threshold even though the marketplace is the one actually collecting the tax, though several states (including Arizona, Florida, Georgia, Maine, Michigan's direct-seller test, and Massachusetts) exclude marketplace-facilitated sales from a remote seller's own calculation. Check the specific state's rule (linked in the table above) before assuming either way; it changes both whether you have nexus and, separately, whether you personally need to register once you do.

What if my state has no sales tax?

New Hampshire, Oregon, Montana, and Delaware have no sales tax at all, state or local, so there is no economic nexus to worry about for sales delivered there. Alaska is the exception worth knowing: the state itself has no sales tax, but dozens of its municipalities do, and they administer a joint $100,000 threshold through the Alaska Remote Seller Sales Tax Commission (ARSSTC) rather than through a state agency. If you sell into Alaska, check ARSSTC directly rather than assuming "no state sales tax" means no obligation at all.

A worked example

Say you run an online store and shipped $92,000 of merchandise into Georgia last year, across 260 separate orders. Georgia's rule is $100,000 in sales or 200 transactions, whichever comes first. Your sales are below $100,000, but your 260 orders already clear the 200-transaction count, so you have economic nexus in Georgia today, even though you have not hit six figures in revenue there. Now compare that to the same $92,000 and 260 orders shipped into California instead: California uses a $500,000 sales-only test with no transaction count, so neither number matters there and you have no nexus in California yet. Same seller, same numbers, two different answers, because the rule itself is different in each state.

The bottom line

There is no single national sales tax threshold. Most states land on $100,000 in sales, a few use $500,000 or $250,000, and whether transactions count at all is a coin flip that keeps changing (more than a dozen states dropped the count between 2019 and 2026). The only reliable process is the boring one: track your sales and transaction count by state, check them against the current rule a few times a year, and register the moment you cross a line, using the official state link rather than a number you remember from a blog post. Pair this checker with Do you need a sales tax permit? for the registration mechanics, and with the sales tax calculator once you know which states you need to collect in and want the actual rate to charge.