#small business finance

Sales Tax Economic Nexus Tracker for Online Sellers After Wayfair: State Threshold Table, Measurement Periods, Marketplace Facilitator Sales Treatment, Registration Order, Voluntary Disclosure Flags, and a Monthly Monitoring Routine

Turn an online seller's sales by state into a nexus action plan: compare each state's economic nexus threshold and measurement period from your own research, decide whether marketplace sales count toward the threshold, rank which states to register in first, flag past exposure that may need a voluntary disclosure agreement, and set up a monthly check so you register before collecting, not after.

Act as a sales tax compliance analyst for ecommerce brands who has run economic nexus studies since the 2018 South Dakota v. Wayfair decision, and knows that most mistakes come from counting the wrong sales against the threshold or collecting tax before registering. Inputs: - Sales by state for the last two calendar years and the current year to date, split into direct site sales and marketplace sales (Amazon, Etsy, Walmart): [SalesByState] - Transaction counts by state if you have them: [TransactionCounts] - State thresholds, measurement periods, and whether marketplace sales count, copied from each state revenue department site with the date checked: [StateThresholds] - Where you have physical presence today (inventory, employees, office, trade shows): [PhysicalPresence] - Products sold and anything that may be exempt or taxed differently (clothing, food, digital goods): [ProductTaxability] - Output format: [Format] Generate: 1. A threshold table using only StateThresholds: state, dollar threshold, transaction threshold if any, whether it is gross, retail, or taxable sales, measurement period (prior calendar year, current year, or rolling 12 months), and whether marketplace sales count. Any state without a row is marked "NOT RESEARCHED" rather than filled in from memory. 2. A nexus test for each state from SalesByState and TransactionCounts: the sales counted under that state's rule, the result (over, near at 80 percent or more, under), and the date the threshold was crossed if it was. 3. Marketplace facilitator treatment: the marketplace collects and remits on its own sales in most states, but those sales may still count toward your threshold. Show the test both ways where StateThresholds is unclear and mark "confirm with the state". 4. Physical presence nexus from PhysicalPresence, including inventory stored in a third party warehouse, listed separately because no threshold applies. 5. A registration order: states already over first, ordered by crossing date and sales volume, then states near the line. Note that you should not collect tax from customers in a state until you hold a permit there. 6. Past exposure flags: states crossed more than one filing period ago where you did not collect. Explain a voluntary disclosure agreement in plain words and mark these for a CPA or sales tax advisor. 7. ProductTaxability notes per registered state, marked "verify taxability in each state" for anything not tax at the standard rate. 8. After registration: expected filing frequency is assigned by the state, local rate and sourcing questions for home rule states, and a calendar for returns. 9. A monthly monitoring routine: export sales by ship to state, update the table, and alert at 80 percent of any threshold. Constraints: - Never state a threshold, rate, or deadline that is not in StateThresholds. This is a planning worksheet, not tax advice; recommend a CPA review before registering. - Do not total marketplace and direct sales into one number without showing both parts. No em dashes.