Free US sales tax risk assessment

Selling into the US? You could be exceeding the new 'economic nexus' thresholds and be liable for sales tax! 
Ensure your business is staying compliant. Take our free US Sales Tax Risk Assessment

By clicking this, you accept our terms of use

Free US sales tax risk assessment

Selling into the US? You could be exceeding the new 'economic nexus' thresholds and be liable for sales tax! 
Ensure your business is staying compliant. Take our free US Sales Tax Risk Assessment

By clicking this, you accept our terms of use

Why you need to assess your US sales tax risk more than ever!

Following the economic fallout of the global pandemic, governments are facing the highest budget deficits in a generation. Meanwhile, online cross-border sales continue to grow, increasingly making these a target for recouping lost revenue.

If you’re selling to customers in the United States, you're increasingly likely to trigger new sales tax obligations or “nexus” - and you no longer need a physical presence in the US to trigger obligations.

Given the number and complexity of sales tax jurisdictions in the US, it can be challenging for businesses to assess their sales tax liability and keep up with US remote seller thresholds.

In a few easy clicks, this free sales tax risk assessment tells you where your business may have an obligation to collect and remit sales tax, or nexus.

By clicking this, you accept our terms of use

Get on top of your US sales tax with our free risk assessment!

What is this?


This free US sales tax risk assessment tool reveals where your business may have an obligation to collect and remit sales tax, or nexus.
This tool assesses economic nexus only. To learn more about how the compliance obligations for remote sellers, visit our US sales tax guide.

Why do I need it?


US sales tax compliance is complex, and the ever-changing tax laws imposed by states present a challenge for businesses of every size.

Meeting your tax obligations is a requirement that only gets more difficult as your business evolves.

What will I get?


A high-level estimate of your tax obligations based on economic nexus laws.
 
1. A customized PDF featuring a list of states where you likely have economic nexus, along with details about each state’s economic nexus threshold.
2. A free consultation to help you understand your company’s potential economic nexus risk in each state, and steps you can take to improve compliance.

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What you need to do

Think about states where you make sales. The assessment will ask you to answer three questions:
One
Where do you currently collect and remit sales tax?
Two
Where do you make sales but not collect sales tax?
Three
Roughly how much do you sell in states where you don’t collect (dollar amount and number of transactions)?
It’s best to have 12 months of data, but you can complete the assessment with less.

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Avalara research

What is nexus?

Economic nexus

Economic nexus is a connection to a state based entirely on sales volume into that state. Businesses can have tax obligations by selling as little as $100,000, or by making 200 individual transactions. Thresholds vary by state and the requirements can be difficult to navigate. 

This free assessement covers economic nexus.

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Physical nexus

Physical presence in a state creates an obligation to register and remit sales tax to that state. Physical presence can include everything from having a retail storefront, renting or owning property, employing remote workers, even storing property in a fulfillment center or location owned by someone else. Physical presence is one of the first things state tax auditors look for during an audit when determining whether you have a tax obligation.

Do you have, or think you may have physical nexus?

What is nexus

Economic nexus

Economic nexus is a connection to a state based entirely on sales volume into the state. Businesses can have tax obligations by selling as little as $100,000 or making 200 individual transactions. Thresholds vary by state and the requirements can be difficult to navigate.

By clicking this, you accept our terms of use

Physical nexus

Physical presence in a state creates an obligation to register and remit sales tax to that state. Physical presence can include everything from having a retail storefront, renting or owning property, employing remote workers, even storing property in a fulfillment center or location owned by someone else. Physical presence is one of the first things state tax auditors look for during an audit when determining whether you have a tax obligation.

Do you have, or think you may have physical nexus?