Inventory storage through Fulfillment by Amazon (FBA) creates sales tax obligations for sellers in California by establishing a physical nexus. When sellers store their products in Amazon’s California fulfillment centers, they have a tangible presence in the state, making them liable to collect and remit sales tax on all taxable sales made within California. This obligation persists regardless of the seller’s overall sales volume, as the presence of inventory in the state signifies a business presence. Additionally, since Amazon acts as a marketplace facilitator, it may handle the collection and remittance of sales taxes on behalf of the sellers. Sellers must ensure accurate tax rate application based on buyer locations and maintain proper records to comply with California’s sales tax regulations.