Sales Tax Nexus Thresholds by State 2026
Compare economic nexus thresholds across states to understand where you may have sales tax obligations. This table covers our Tier A states with detailed guides available.
Key Insights
- • Most common threshold: $100,000 in sales
- • Some states use: $100,000 OR 200 transactions
- • State tax rates range from 4% to 6%
- • Local taxes can add 1-4% more
Tier A States Comparison
These states were selected for low .gov competition and strong SEO opportunities. Click on any state for a complete nexus guide.
| State | Economic Nexus Threshold | Transaction Threshold | State Rate | Effective Date |
|---|---|---|---|---|
| Florida | $100,000 | None | 6% | July 1, 2021 |
| Georgia | $100,000 | 200 transactions | 4% | January 1, 2020 |
| Arizona | $100,000 | None | 5.6% | October 1, 2019 |
| North Carolina | $100,000 | None | 4.75% | November 1, 2018 |
| Pennsylvania | $100,000 | None | 6% | July 1, 2019 |
Detailed State Breakdown
Florida
Economic Nexus
$100,000
Transaction Threshold
None
State Rate
6%
Local Tax
Up to 2%
Filing Options
Monthly, Quarterly, Semi-Annual, Annual
Tax Type
Sales Tax
Note: Florida removed its transaction threshold, now only requires $100,000 in sales.
Georgia
Economic Nexus
$100,000
Transaction Threshold
200 transactions
State Rate
4%
Local Tax
Up to 4%
Filing Options
Monthly, Quarterly
Tax Type
Sales Tax
Arizona
Economic Nexus
$100,000
Transaction Threshold
None
State Rate
5.6%
Local Tax
Varies widely by city
Filing Options
Monthly, Quarterly, Annual
Tax Type
Transaction Privilege Tax (TPT)
Note: Arizona uses Transaction Privilege Tax (TPT) instead of traditional sales tax. It's an origin-based tax, meaning the tax rate is based on the seller's location, not the buyer's.
North Carolina
Economic Nexus
$100,000
Transaction Threshold
None
State Rate
4.75%
Local Tax
Up to 2.75%
Filing Options
Monthly, Quarterly, Annual
Tax Type
Sales Tax
Note: North Carolina removed its 200 transaction threshold in July 2024. Now only the $100,000 revenue threshold applies.
Pennsylvania
Economic Nexus
$100,000
Transaction Threshold
None
State Rate
6%
Local Tax
Philadelphia 2%, Allegheny County 1%
Filing Options
Monthly, Quarterly, Semi-Annual, Annual
Tax Type
Sales Tax
Note: Philadelphia and Allegheny County (Pittsburgh) have additional local sales taxes that apply to sales made within those jurisdictions.
Understanding Economic Nexus
Economic nexus is the obligation to collect and remit sales tax based on your sales activity in a state, even without physical presence. This concept became nationwide after the Supreme Court's 2018 decision in South Dakota v. Wayfair.
How Thresholds Work
Each state sets its own threshold, typically:
- Revenue-only states: Nexus triggered by exceeding a dollar amount (e.g., $100,000)
- Revenue OR transaction states: Nexus triggered by either revenue OR transaction count
- Measurement periods: Usually calendar year, but some states use rolling 12-month periods
Marketplace Facilitator Laws
Most states require marketplace facilitators (Amazon, eBay, Etsy, etc.) to collect and remit sales tax on behalf of their sellers. These marketplace sales typically don't count toward your economic nexus threshold.
Frequently Asked Questions
The most common threshold is $100,000 in sales, used by most states. Some states also include a transaction threshold (typically 200 transactions) as an alternative.
Last Updated: January 15, 2026
Disclaimer: This information is provided for educational and informational purposes only and does not constitute tax, legal, or financial advice. Tax laws and regulations change frequently. While we strive to keep this information accurate and up-to-date, we make no representations or warranties of any kind about the completeness, accuracy, reliability, or suitability of this information. Please consult with a qualified tax professional or attorney for advice specific to your business situation. Always verify current requirements with the official state tax authority.