E-Commerce Tax — NYC
What We Cover
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Sales Tax Nexus Analysis — Physical nexus, economic nexus, click-through nexus — New York recognizes all of them. We determine where you have collection obligations and register you in the states that matter, not all 50.
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Marketplace Facilitator Compliance — Amazon, Etsy, Shopify, and others collect and remit sales tax in most states now. But they don’t always get the rates right, and they don’t cover every jurisdiction you sell into. We reconcile what’s been collected against what’s actually owed.
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Drop Shipping Tax Treatment — When you sell a product that ships from your supplier directly to the customer, the sales tax responsibility depends on who has nexus where. It’s a three-party transaction and the rules are not intuitive. We sort it out.
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Inventory-Based Nexus — Storing inventory in an Amazon FBA warehouse in another state creates nexus there. Many sellers don’t realize this until they get a notice. We track where your inventory sits and handle the filings.
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Income Tax Preparation — Federal, New York State, and NYC income tax returns for your e-commerce entity, including cost of goods sold, shipping expenses, advertising costs, platform fees, and returns/refunds.
E-Commerce Tax in New York
New York’s “click-through nexus” law — sometimes called the Amazon tax — was one of the first in the country. If a New York-based affiliate or referrer sends you customers and you pay them a commission, New York considers you to have nexus here. That was true before the South Dakota v. Wayfair decision, and it still applies on top of the economic nexus threshold ($500,000 in sales and 100 transactions).
The practical problem for most NYC e-commerce sellers isn’t knowing they need to collect sales tax — it’s keeping track of which states they have obligations in, what rates apply, and whether exemptions for things like clothing (New York exempts clothing items under $110) are being applied correctly. We automate what can be automated and review the rest manually.
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Let’s figure out where you have nexus, what you owe, and how to stay compliant without drowning in filings.