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Maryland Sales Tax Nexus - Do You Have Exposure?

Maryland sales tax nexus affects many businesses selling into the state without a physical presence. Remote sellers, ecommerce companies, and digital businesses frequently trigger exposure as sales increase. Because Maryland enforces economic nexus and applies sales and use tax broadly, exposure often exists before businesses register or begin filing. This page explains how Maryland sales tax nexus is triggered, what commonly creates exposure, and what businesses should review before taking action.

Why Maryland sales tax nexus is often misunderstood

Maryland:

Many businesses assume Maryland exposure requires physical presence. That assumption is often incorrect.

What triggers Maryland sales tax nexus

Maryland sales tax nexus is commonly triggered by:

Nexus can exist even if a business has no office, employees, or inventory in the state.

Economic nexus in Maryland

Maryland enforces economic nexus for remote sellers.

Nexus may be triggered when:

Because thresholds are revenue-based, exposure can accumulate quietly as sales grow.

Digital products and services in Maryland

Maryland taxes many digital transactions.

Exposure commonly arises from:

Digital businesses frequently trigger nexus earlier than expected.

Marketplace sellers and Maryland exposure

Marketplace facilitator rules reduce some exposure but do not eliminate all obligations.

Common issues include:

Marketplace sellers should not assume exposure is fully resolved.

Use tax exposure in Maryland

Use tax exposure is frequently overlooked.

Typical causes include:

Use tax obligations apply even when no sales tax was collected.

Why Maryland exposure is often discovered late

Maryland exposure is commonly identified during:

By the time exposure is found, remediation options may be limited.

What to review before registering or filing in Maryland

Before registering or filing, businesses should review:

Filing without clarity can create unnecessary long-term obligations.

How TaxMap helps with Maryland sales tax nexus

TaxMap evaluates Maryland sales tax and use tax exposure by analyzing sales and purchase data against state-specific rules. TaxMap shows where exposure exists, when obligations began, and what requires action now versus monitoring.

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