Handling sales tax as an ecommerce seller can feel overwhelming, especially when selling across multiple states. The key concept to understand is nexus — the connection between your business and a state that creates a tax obligation.

Economic nexus thresholds (typically $100,000 in sales or 200 transactions in a state) mean most growing ecommerce businesses have nexus in multiple states whether they realize it or not. If you’ve crossed those thresholds and aren’t collecting and remitting, you’re accumulating liability. Get a nexus study done, understand where you’re exposed, and get compliant. The longer you wait, the bigger the problem grows.