Which states require you to collect sales tax? Enter sales data and find out instantly
Economic nexus thresholds are simplified for general guidance. Some states have additional nuances (click-through nexus, marketplace nexus, safe harbors). Consult a tax professional for compliance.
Economic nexus is the doctrine born from the Supreme Court's 2018 South Dakota v. Wayfair decision: a state may require an out-of-state seller to collect sales tax once their activity in that state crosses a dollar or transaction threshold — even with zero physical presence. The thresholds vary widely. Most states trigger at $100,000 in sales or 200 transactions, a few (Alabama, Mississippi) use $250,000, and a handful (California, Texas, New York) set the bar at $500,000. New York is the outlier that requires BOTH $500,000 in sales AND 100 transactions. This checker compares your numbers against every state's rule and flags where registration is required.
Economic nexus thresholds as of 2026. The dashed marker shows a sample seller with $150,000 of sales: obligations begin in every state whose $100,000 threshold is crossed. Five states (DE, MT, NH, OR, AK) have no sales tax at all.
Sam sells direct-to-consumer from Colorado and ships orders himself (no marketplace facilitator). He needs to know where he must register to collect sales tax.
How it works: pick your inputs and the result updates live — check which US states you have economic nexus in. Everything runs locally; nothing is uploaded.
FreeToolHub US Economic Nexus Checker is a free browser-based tool — check which US states you have economic nexus in. No signup, no upload; everything runs locally in your browser.
Enter your sales volume, see which states require you to collect sales tax. All 50 states, free.
The US Economic Nexus Checker tells you which states can require your business to collect sales tax based on the sales and transaction volumes you enter. After South Dakota v. Wayfair (2018), states may tax remote sellers with no physical presence, and nearly every state adopted an economic threshold rule. The tool loads the 2026 threshold table covering all 50 states: 45 that levy sales tax, plus Delaware, Montana, New Hampshire, Oregon, and Alaska, which are reported separately as no-sales-tax states. For each state you review, enter annual sales and transaction counts, and the checker sorts results into three buckets: triggered states where filing is required, states where you sit below threshold with the gap shown, and no-tax states, each labeled with its exact threshold and marketplace facilitator status.
Multistate e-commerce sellers who ship from one warehouse use it to map filing obligations before revenue crosses a line. Shopify, Amazon, and Etsy sellers who sell through marketplaces check whether marketplace facilitator laws already collect tax on their behalf, since the result panel marks that per state. SaaS and digital-goods vendors expanding past their home state use it during quarterly reviews, and accountants preparing registrations for new clients run per-state scenarios in one pass. Dropshippers testing ad spend across regions estimate how close each state sits to its limit. It fits any seller without physical presence; if you own inventory, staff, or offices in a state, you already have physical nexus there and should register regardless of the sales figures shown here.
(1) Enter your data: add rows for each state with its annual sales dollars and transaction count, or flip the "Use same totals for all states" switch and type one pair of totals applied everywhere. A sample button loads a five-state scenario (CA $80,000/180, TX $45,000/90, NY $60,000/120, FL $30,000/55, PA $15,000/25). (2) Click Check Nexus Status, and each entry is compared against that state's 2026 rule, such as $100K plus 200 transactions for South Dakota-style states or the $500K level used by California and Texas. (3) Read the verdict: triggered states appear red with filing required and notes, below-threshold states show green with their thresholds, and no-tax states are listed together.
A state-specific combination of sales dollars and transaction count within the current or prior calendar year. Most threshold states follow $100,000 in sales, either alone or paired with 200 transactions, which is the pattern the Wayfair case upheld for South Dakota. Dollar-only states include California, Texas, and New York at $500,000, with New York also adding a 100-transaction test, plus Alabama and Mississippi at $250,000. Once either prong is met, the obligation starts and typically persists for twelve months after you fall below it. The tool also surfaces click-through nexus flags for affiliate programs and marketplace facilitator status, where a marketplace like Amazon collects and remits for you. Physical presence, inventory, or employees trigger nexus immediately at any dollar amount.
Economic nexus is the rule (born from South Dakota v. Wayfair, 2018) that a state can require sales tax collection once you cross its sales threshold — even with no office, warehouse, or employee there. Before Wayfair, only physical presence created an obligation. Now a Shopify store in Ohio shipping $150,000 into Colorado owes Colorado sales tax registration, and every state that adopted the standard defines its own thresholds and rules.
Yes — most states use $100,000 in sales per year, but the details vary meaningfully: many dropped the old 200-transaction arm after a 2020 South Dakota law change swept reforms, while a few states keep lower dollar thresholds (e.g., $60,000 in some) or still count transaction counts. Several states also exclude marketplace-facilitator sales from your threshold when the platform already collected the tax. The checker tracks the per-state thresholds so a one-size assumption does not create a gap.
Most states count gross revenue from sales into the state — often including non-taxable and exempt sales, not just taxable ones; a handful count only taxable sales. Wholesaling counts. Marketplace sales may or may not count depending on the state and whether the facilitator remits. This ambiguity is exactly why the checker asks for gross sales per state: over-counting costs you a registration you did not need; under-counting creates back-tax exposure with penalties.
Register for a sales tax permit in that state first — collecting before registering is itself a compliance violation in some states. Then start collecting on the next taxable sale, file by the state's cadence (monthly or quarterly), and mind the lookback: if you crossed the threshold months ago unnoticed, most states offer a voluntary disclosure agreement that caps the lookback window (often to 12 months plus waivers) in exchange for coming forward. The longer an unregistered obligation runs, the more the waiver is worth.
Economic nexus requires out-of-state sellers to collect sales tax once they exceed a state's threshold—typically $100,000 in annual sales or 200 separate transactions (the South Dakota v. Wayfair standard). Enter your revenue per state to instantly see where you have crossed the line and owe tax.
Yes. It evaluates nexus thresholds for all 50 states plus Washington DC, including states with no sales tax (Delaware, Montana, New Hampshire, Oregon, Alaska). Results update in real time as you enter figures, flagging each state where you have an active collection obligation.
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