Common Ways to Have Sales Tax Nexus in Georgia
1. Economic nexus in Georgia
If you made $250,000 of sales or more than 200 transactions in the state of Georgia, then you are required to register for, collect, and pay sales tax to the state. If you meet this threshold, it does not matter if you have a physical presence in Georgia. Nexus has been created based on your volume of sales. For more information, please see the Georgia PB SUT-2019-02 Remote Sellers PDF.
If you need help determining which states you have crossed economic nexus thresholds, check out our Sales Tax Starter Kit service.
2. Physical presence in Georgia
The following creates physical presence nexus in Georgia. If you have any of the following in Georgia, you will need to get a sales tax permit:
- An office or place of business such as a retail store.
- A warehouse or inventory stored in the state.
- Employees or independent contractors in the state.
- Ownership of real or personal property in Georgia.
- Delivery of merchandise into Georgia with the seller’s vehicle.
For more information about sales tax nexus, see Georgia HB 1221.
3. Trade shows or conventions in Georgia
Presence at a trade show or convention may create sales tax nexus in Georgia if the following is true:
- You derived more than $100,000 in income from sales at the trade show.
- Your employees or representatives engaged in trade show activities for more than 5 days in any 12 month period.
Even if you do not meet the above criteria requiring you to get a sales tax permit in Georgia based on your presence at a trade show, you still must collect and remit Georgia sales tax for all sales made at the trade show using the Miscellaneous Sales Event Form.
If you need help determining which states you have a physical presence in, check out our Sales Tax Starter Kit service.
Let our team of professionals help you register for sales tax permits.
Do You Need a Sales Tax Permit in Georgia If You Only Sell on Marketplaces?
Yes. As of the publication of this blog, Georgia is not a marketplace collection state. Subsequently, Amazon, eBay, and other marketplace facilitators are NOT required to collect or pay sales tax in Georgia on your behalf. Therefore, you, as the seller are responsible for collecting and remitting sales tax due on sales into Georgia if you are required to have a sales tax permit.
If you are an e-commerce seller who is unsure of where you need to get a sales tax permit, check out our Sales Tax Starter Kit service. In fact, if at any point you are stuck and want a team of experts to handle all of this for you, don’t hesitate to contact us.