Content, Data, and Insights

Avalara Sales Tax Risk Assessment

Get your assessment to know when and where you need to register your business

Content, Data, and Insights

Avalara Sales Tax Risk Assessment

Get your assessment to know when and where you need to register your business

WHAT IS IT?

Easily determine your state tax obligations with the Avalara Sales Tax Risk Assessment

Understanding state nexus laws and knowing where to register can be complicated and risky to do on your own. The Avalara Sales Tax Risk Assessment helps you identify where you’ve triggered physical and economic nexus so you can meet your U.S. sales tax obligations.

WHY DO I NEED IT?

Keep up with constantly changing tax laws

Sales tax compliance is complex. Ever-changing state tax laws present a challenge for businesses of all sizes: staying compliant.
Meeting your tax obligations is a requirement that only gets more difficult as your business evolves.

What is nexus and why does it matter?

Determine which type of nexus you’ve triggered

Analysis of nexus thresholds with a graph and data points

What is economic nexus

Economic nexus is a connection to a state that is based entirely on sales volume into the state and creates an obligation to register and remit sales tax to that state.

Obligations can be triggered by having as little as $100,000 worth of sales in a state or making 200 individual transactions. These criteria are also called nexus thresholds. Thresholds vary by state and the requirements can be difficult to navigate.  

Learn about each state’s rules for economic nexus

What is physical nexus?

Physical presence in a state creates an obligation to register and remit sales tax to that state. Physical presence can include everything from having a retail storefront to renting or owning property, employing remote workers, and even storing property in a fulfillment center or a location owned by someone else.

Physical presence is one of the first things state tax auditors look for during an audit when determining whether you have a tax obligation.  

Learn about each state’s rules for physical nexus

What is nexus and why does it matter?

Determine which type of nexus you’ve triggered

Analysis of nexus thresholds with a graph and data points

What is economic nexus

Economic nexus is a connection to a state that is based entirely on sales volume into the state and creates an obligation to register and remit sales tax to that state.

Obligations can be triggered by having as little as $100,000 worth of sales in a state or making 200 individual transactions. These criteria are also called nexus thresholds. Thresholds vary by state and the requirements can be difficult to navigate.  

Learn about each state’s rules for economic nexus

What is physical nexus?

Physical presence in a state creates an obligation to register and remit sales tax to that state. Physical presence can include everything from having a retail storefront to renting or owning property, employing remote workers, and even storing property in a fulfillment center or a location owned by someone else.

Physical presence is one of the first things state tax auditors look for during an audit when determining whether you have a tax obligation.  

Learn about each state’s rules for physical nexus

Explore nexus and sales tax resources

Assess your sales tax obligations

Take your risk assessment and we’ll help you discover where you have sales tax responsibilities.

Assess your sales tax obligations

Take your risk assessment and we’ll help you discover where you have sales tax responsibilities.