Question 1

I sell to customers in the U.S. — do I need to register for U.S. sales tax?

Accepted Answer

No. Selling to U.S. customers does not automatically mean you must register for sales tax. You are only required to register if your business has sales tax nexus in a specific U.S. state. Nexus depends on how and where you sell, not simply where your customers are located.

Question 2

What is U.S. sales tax nexus?

Accepted Answer

Sales tax nexus is the legal connection between your business and a U.S. state that requires you to register for sales tax, collect tax from customers in that state, and file sales tax returns. Each U.S. state sets its own nexus rules.

Question 3

What creates sales tax nexus in the U.S.?

Accepted Answer

Nexus is typically created through physical presence or economic activity. Physical presence can include inventory stored in the U.S., employees, contractors, or offices. Economic nexus is triggered when your sales or transaction volume exceeds a state's threshold.

Question 4

What are economic nexus thresholds?

Accepted Answer

Economic nexus thresholds vary by state but commonly include $100,000 in sales or 200 transactions in a year. Some states only apply sales-based thresholds, while others use higher limits. Once a threshold is exceeded, registration is usually required.

Question 5

I'm not based in the U.S. — can I still have U.S. sales tax obligations?

Accepted Answer

Yes. Many UK, EU, and international sellers are required to comply with U.S. sales tax laws. Your business location does not exempt you if nexus is triggered in a U.S. state.

Question 6

Does selling through Amazon, Shopify, or marketplaces change anything?

Accepted Answer

Marketplaces may collect sales tax on your behalf in some states, but this does not always remove your obligation to register or file returns. Rules vary by state and by sales channel.

Question 7

When should I register for sales tax after triggering nexus?

Accepted Answer

In most cases, registration should happen as soon as nexus is identified. Delaying registration can lead to penalties and interest. Some businesses benefit from professional review before registering.

Question 8

Does Taxolio handle state sales tax registrations?

Accepted Answer

Yes. Taxolio includes state sales tax registrations as part of its monthly service. Our team handles the registration process so you do not need to navigate state portals yourself.

Question 9

Do I need to file sales tax returns even if I made no sales?

Accepted Answer

Often, yes. Many states require $0 (nil) returns even when no taxable sales occurred. Missing these filings can still result in penalties.

Question 10

How often do sales tax filings happen?

Accepted Answer

Filing frequency depends on the state and your sales volume. Returns may be required monthly, quarterly, or annually. You do not need to track this yourself when using Taxolio.

Question 11

Why does Taxolio charge monthly even if some states file quarterly?

Accepted Answer

Sales tax compliance is continuous. Even quarterly states require monitoring, data checks, and deadline management. Monthly pricing avoids confusion and unexpected charges.

Question 12

How is Taxolio priced?

Accepted Answer

Taxolio uses simple monthly pricing per state. $99 per month covers up to two states, and each additional state is $35 per month. Pricing includes registrations, filings, monitoring, and expert oversight.

Question 13

Does Taxolio charge per filing or per return?

Accepted Answer

No. Taxolio does not charge per filing. All required filings for each state are included in the monthly per-state fee.

Question 14

Does Taxolio use automated filings?

Accepted Answer

No. Taxolio is a done-for-you service. All registrations and filings are handled by real experts, supported by internal tools and human review.

Question 15

What happens after I sign up?

Accepted Answer

After signing up, you complete a short onboarding form. Our team then manages registrations, filings, and ongoing compliance on your behalf.

Question 16

Can I speak to someone before paying?

Accepted Answer

Yes. You can book a free 20-minute call to discuss your situation, ask questions, and confirm next steps.

Question 17

Is this legal or tax advice?

Accepted Answer

No. Taxolio provides sales tax compliance services, not legal or personalised tax advice. Sales tax laws vary by state and change frequently.

FAQ

Frequently asked questions about the platform

Sales Tax Basics

Taxolio Service

FAQ

Frequently asked questions about the platform

Sales Tax Basics

Taxolio Service