Avalara > Blog > Developer > Determining a company's tax profile - nexus, exemptions and taxability

Determining a company's tax profile - nexus, exemptions and taxability

  • Jun 4, 2018 | Wayne Myer

VIDEO: What’s My Tax Profile?

Before using the AvaTax API, there are a few basic sales tax principles you need to understand. First and foremost is your organization’s tax profile, which is comprised of three key components:

  • Where your organization is required to collect sales tax, a principle known as nexus
  • The customers your organization exempts from sales tax
  • The specific tax rates for the products and services your organization sells

Watch the short video above to get a quick, basic understanding of how your organization’s tax profile is determined.


Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Wayne Myer
Avalara Author
Wayne Myer
Wayne Myer
Avalara Author Wayne Myer
Wayne Myer is a Software Engineer on the Developer Relations Team, an engineer-to-engineer resource for the AvaTax API. When not working on code and documentation, Wayne can be found living on a sailboat, sailing said boat, scuba diving, and long-distance bicycling.