- Retail sales of tangible personal property delivered into New Jersey
- Both taxable and exempt sales count toward the threshold
- Digital products and taxable services sourced to New Jersey
- Sales for resale made with a valid New Jersey resale certificate
- Sales made through a registered marketplace facilitator — these count toward the seller's threshold, but the marketplace bears the collection and remittance obligation
Affiliate nexus
New Jersey recognizes affiliate nexus through a rebuttable presumption of in-state solicitation when a related New Jersey entity performs activities that establish or maintain the remote seller's market in the state. This provision was enacted under P.L. 2014, c. 13 and applies independently of economic nexus thresholds.
Qualifying activities that trigger the presumption include performing warranty service, installation, repair, or delivery in New Jersey on behalf of the remote seller; operating under a substantially similar name, trademark, or trade name as an entity with a New Jersey place of business; and conducting any activities that help an out-of-state seller establish or maintain its New Jersey customer market. The presumption is rebuttable — a remote seller can overcome it by demonstrating that the in-state entity's activities did not constitute solicitation on the seller's behalf.
New Jersey also recognizes click-through nexus under the same statutory framework, also enacted by P.L. 2014, c. 13. A rebuttable presumption of in-state solicitation arises when a seller has an agreement with a New Jersey-based independent contractor or representative to refer customers via website links or other means in exchange for a commission, and the seller's New Jersey sales attributable to those referrals exceeded $10,000 during the prior four quarterly periods (ending the last day of March, June, September, and December). This presumption is likewise rebuttable by demonstrating the New Jersey representative did not engage in solicitation. These click-through provisions remain fully operative and were not affected by the post-Wayfair economic nexus laws.
Physical nexus
Physical presence in New Jersey creates sales tax nexus independently of any sales volume threshold. Nexus arises from maintaining an office, warehouse, distribution house, or showroom in the state, as well as from having employees, agents, or independent contractors operating in New Jersey. Delivering goods into New Jersey in the seller's own vehicles also constitutes physical presence.
Inventory stored in New Jersey triggers nexus regardless of whether the seller directly controls the storage facility, including goods held at Amazon FBA fulfillment centers and similar third-party logistics operations located in the state.
A teleworking employee who works from a New Jersey residence creates physical nexus for the employer. A COVID-19 pandemic nexus waiver that had temporarily suspended this rule permanently expired October 1, 2021, and no subsequent waiver has been issued.
Attendance at New Jersey trade shows is treated with a meaningful distinction: soliciting or making sales at a New Jersey trade show creates physical presence, while merely attending a trade show without soliciting or selling does not.
Trailing nexus
Once the $100,000 economic nexus threshold is met in a given calendar year, the collection obligation extends through the remainder of that year and the entire following calendar year. A seller that crosses the threshold in May 2025, for example, remains obligated to collect through December 31, 2026. The current or prior calendar year evaluation period governs when the threshold is assessed, and the trailing obligation runs from the point of crossing through the end of the full year following the year in which the threshold was met.
