Economic Nexus Exposure Checker
Check your remote sales and order counts against common state economic nexus triggers. Input the past 12 months of revenue and transactions for a state to see whether you already crossed the registration threshold, how far above or below you sit, and the next compliance step.
Economic nexus laws vary by jurisdiction. Confirm thresholds, safe harbors, and registration requirements with state tax authorities or a qualified SALT advisor.
Examples
- Example 1 — $135,000.00 in sales, 250 transactions, defaults for thresholds ⇒ Economic nexus triggered — sales threshold met, transaction threshold met. | Sales at 135.00% of threshold ($35,000.00 over) | Transactions at 125.00% of threshold (50 over) | Next step: File for a sales-tax permit and begin collecting immediately.
- Example 2 — $82,500.00 in sales, 120 transactions, $100,000.00 threshold, 200 transaction default ⇒ No trigger yet — sales $17,500.00 below threshold, 80 transactions below threshold. | Sales at 82.50% of threshold (-$17,500.00 under) | Transactions at 60.00% of threshold (-80 under) | Next step: Continue monitoring monthly and retain invoices to evidence non-nexus.
FAQ
How should I handle states with revenue-only thresholds?
Set the transaction threshold to 0 so the calculator ignores that test and focuses on the revenue requirement.
Do marketplace facilitator sales count?
Many states exclude marketplace sales handled by registered facilitators. Subtract marketplace revenue from the sales input if the marketplace remits tax on your behalf.
What period should I use?
Most states look at the prior or current calendar year. Enter the most recent 12-month window you track internally, then rerun the calculation monthly.
Additional Information
- Most states require registration when remote sales exceed $100,000 or 200 transactions, but a few states rely on one test only or higher thresholds.
- Economic nexus tests generally reset each calendar year; falling back below thresholds may allow permit surrender after a cool-off period.
- Include taxable and exempt sales when tracking thresholds unless the state explicitly excludes exempt sales.
- Transaction thresholds typically count invoices, not individual line items; large B2B orders still count once per invoice.