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Dec 18, 2024

How does utilizing Fulfillment by Amazon impact sales tax obligations for sellers in Alabama?

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Utilizing Fulfillment by Amazon (FBA) in Alabama establishes physical nexus for sellers, as products are stored in Amazon’s fulfillment centers within the state. Sellers must register with the Alabama Department of Revenue to collect and remit sales tax on their sales. Although Amazon, as a marketplace facilitator, handles tax collection, sellers are responsible for maintaining compliance, including accurate record-keeping and understanding use tax obligations for out-of-state purchases.

Ready to automate your sales tax?

Ready to automate your sales tax?

Ready to automate your sales tax?

Ready to automate your sales tax?