What if I don’t have an address or warehouse in a given state?
First things first: you're only required to collect sales taxes from customers who live in the states where you have nexus.
You automatically have nexus in your home state and the most common causes for nexus in other states are:
- A warehouse
- An affiliate
- Stored inventory
- Drop shipping from a 3rd party provider
- Temporarily doing physical business in a state for a trade show or craft fair
What should I list as my Address of Nexus in my State settings?
A) You sell via FBA:
- If your only nexus in the state is because of an FBA warehouse, you can leave the nexus address in your State Settings blank and our system will default to an Amazon warehouse.
B) You sell via FBA but you also have a physical location in the state other than inventory in an Amazon warehouse:
- If you have another form of physical presence in the state in addition to FBA inventory, you should enter the address of your location that is creating nexus in the State Settings.
C) You do not sell via FBA but you have a physical presence in the state that creates nexus:
- You should enter the address of your location that is creating nexus in the State Settings.
D) You have nexus in the state that is not due to FBA inventory and you don't have a permanent physical address in a state:
- You should enter the city and zip code of the location that is creating nexus for you in the State Settings. (e.g., Your affiliate's location or the address where the order shipped from or the location where you made sales at a trade show.)
E) You have economic nexus in the state:
- If you need to collect in a state because you have Economic Nexus, you are not required to add a nexus address in your State Settings for that state.
- If you are using the SmartCalcs API and need to collect in a state where you have economic nexus only, we recommend following the guidelines listed here.