Georgia economic nexus threshold

Georgia's economic nexus threshold is more than $100,000 in sales or 200 transactions. Get a free nexus study. All 50 states covered.

Georgia support
Easy integrations
Numeral guarantee
Included transactions:
  • Retail sales of tangible personal property delivered to a Georgia address (physically or electronically)
  • Direct sales made by the seller outside of any marketplace platform
  • A single customer order counts as one transaction even if fulfilled in multiple shipments
Excluded transactions:
  • Wholesale and resale sales
  • Sales of services — the threshold applies to retail sales of tangible personal property only
  • Sales made through a registered marketplace facilitator (count toward the facilitator's threshold, not the business's threshold)

Affiliate nexus

Georgia deems an out-of-state seller a "dealer" when a related Georgia entity performs advertising, marketing, or sales on the remote seller's behalf, or provides other services "significantly associated" with maintaining the remote seller's Georgia customer base. This affiliate nexus standard is rebuttable.

Georgia also recognizes click-through nexus when a commission-based referral agreement exists with Georgia residents who refer customers, and gross receipts from those referrals exceed $50,000 in the prior 12 months. This provision has been effective since December 31, 2012 and is also rebuttable.

Physical nexus

Any physical presence in Georgia creates nexus immediately. Under O.C.G.A. § 48-8-2, triggers include maintaining an office, distribution center, salesroom, warehouse, service enterprise, or any other place of business in the state; having employees, agents, representatives, or contractors soliciting business in Georgia; and storing inventory in a Georgia warehouse, including inventory held at Amazon FBA fulfillment centers. A business storing inventory in a Georgia-based Amazon fulfillment center is already a dealer under Georgia law, rendering the economic nexus threshold irrelevant to that business's Georgia collection obligation.

Delivering, installing, assembling, or servicing tangible personal property in Georgia also establishes physical nexus.

A limited trade show exemption applies when a business's sole Georgia presence is participation in a trade show lasting five days or fewer within a 12-month period and Georgia-sourced net income in the prior year was $100,000 or less. However, tax must still be collected on all sales made at or resulting from the event, even when the exemption applies.

Contracting with a Georgia-based commercial printer does not create dealer status.

Out-of-state vendors holding contracts exceeding $100,000 with any Georgia state agency are required to register for Georgia sales tax under O.C.G.A. § 48-8-14, regardless of physical presence or economic nexus status.

Trailing nexus

Georgia recognizes trailing nexus at the calendar-year boundary. A business that met either threshold in a prior calendar year remains subject to Georgia's collection obligation through the end of the current evaluation period. There is no fixed multi-month trailing period beyond that calendar-year boundary.

Economic Nexus Threshold:

More than $100,000 in sales OR 200 transactions (either triggers)

Effective Date:

January 1, 2020

Evaluation Period:

Prior calendar year OR current calendar year running total

Previous Threshold Rules:

January 1, 2019 to December 31, 2019: $250,000 in gross revenue, no transaction count (HB 61). HB 182 reduced the dollar threshold and added the 200-transaction alternative effective January 1, 2020.

Find out if you have nexus in Georgia
Get a free nexus study