Unsure where you owe sales or use tax
Run Your Nexus Risk CheckAmazon FBA may create California sales tax nexus when inventory is stored in California fulfillment centers.
Physical presence through inventory can create nexus even if:
Once nexus exists, registration and tax collection obligations may apply.
Run Your Nexus Risk CheckWhen inventory is stored in a California warehouse, the seller may establish physical presence in the state.
Physical nexus may arise from:
Physical presence can create nexus regardless of revenue level.
California economic nexus applies separately from physical nexus. If your FBA sales into California exceed 500000 dollars in a calendar year, economic nexus applies even without inventory. If inventory is present, nexus may exist before reaching 500000 dollars.
Even if Amazon collects and remits tax under marketplace facilitator rules, sellers may still:
Marketplace collection does not eliminate historical nexus risk.
Before registering or filing, confirm whether your business has created sales tax nexus in California or Texas.
Run Your Nexus Risk CheckIf inventory created nexus and you did not register, exposure may include:
Many FBA sellers discover inventory based nexus years after growth.
California Back Sales Tax Liability | California Voluntary Disclosure Agreement
Inventory movement between states can expand nexus footprint.
If your inventory has been stored in California fulfillment centers, evaluate exposure before registering.
Run Your Nexus Risk CheckIdentify potential Amazon FBA nexus exposure before penalties escalate.