I wanted to start a discussion on the concept of physical nexus for Amazon sellers. Many of us may have heard about it, but it's crucial to fully understand what it entails and how it impacts our businesses. So, what is physical nexus for Amazon? In simple terms, it refers to the presence of a physical connection or sufficient physical presence in a state that requires a business to collect and remit sales tax. This presence could be through a warehouse, office, or even employees working in a particular state. Essentially, if you have a physical presence in a state, you may be liable for collecting and remitting sales tax on sales made to customers in that state. I stumbled upon this informative article here that dives deeper into the topic. It outlines the various factors that determine physical nexus and offers insights into how Amazon sellers can navigate through these complexities.
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