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If you’re running a business outside the U.S. and selling into the American market, one of the biggest surprises is how complicated and decentralized U.S. sales tax really is.

If you’re running a business outside the U.S. and selling into the American market, one of the biggest surprises is how complicated and decentralized U.S. sales tax really is.



There’s no single national VAT.



There’s no federal guidance.



There are 50 separate state systems, each with its own rules, thresholds, filings, and penalties.


(Five states have no statewide sales tax, but the compliance landscape still spans all 50.)



And here’s what many non-U.S. founders don’t realize:



You can trigger a U.S. sales tax filing requirement even if you’re shipping everything from abroad.



If you cross a state’s economic nexus threshold (often $100,000 in sales), you must collect and remit sales tax, even with zero physical presence in the U.S.



If you use Amazon FBA or any U.S. warehouse, your inventory creates automatic physical nexus in those states.



This is especially relevant for UK/EU/Israel businesses selling via:


 • Amazon FBA


 • Shopify


 • Etsy


 • Wholesale/retail distribution


 • Digital services and subscriptions



Once you cross that threshold in a state, you’re required to:


Register for that state’s sales tax permit


Collect the correct rate (city + county + state)


File returns on monthly, quarterly, or annual schedules


Avoid under-collection penalties, which can get extremely expensive


You don’t need to miss out on the U.S. market just because the compliance is technical.



Professionals can handle all the setup and filings for you — so you can focus on scaling the business.



What I help non-U.S. companies with:


 • U.S. sales tax registration in all applicable states


 • Setting up Shopify/Amazon to collect the correct tax


 • Mapping products and exemptions correctly


 • Filing and maintaining compliance


 • Fixing historic non-compliance when necessary



If you’re expanding into the U.S. market and want to avoid expensive mistakes, feel free to reach out.



The earlier you set this up, the easier your compliance becomes.

 
 
 

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