Fulfillment by Amazon (FBA) sellers in Maryland have specific sales tax obligations under the 2024 regulations:

1. Nexus Establishment: Physical Presence: Storing inventory in Amazon’s Maryland warehouses creates a physical nexus, obligating sellers to collect and remit Maryland sales tax. Economic Presence: Exceeding $100,000 in sales or 200 transactions annually also establishes economic nexus.

2. Registration: FBA sellers with nexus must register for a Maryland sales tax permit through the Maryland Business Express portal.

3. Tax Collection:

   Collect the 6% state sales tax on taxable goods sold to Maryland residents.

   Ensure compliance with any additional local taxes if applicable.

4. Marketplace Facilitator Compliance: Amazon, as a marketplace facilitator, is required to collect and remit sales tax on behalf of FBA sellers for sales made through its platform to Maryland customers.

5. Filing and Remittance:

   File periodic sales tax returns (monthly, quarterly, or annually) based on sales volume through the Comptroller’s bFile system.

   Remit the collected taxes by the due dates to avoid penalties.

6. Exemptions: Apply exemptions correctly for certain items like prescription drugs and some groceries, maintaining proper documentation.

7. Compliance:

   Maintain accurate records of sales, taxes collected, and exemptions claimed.

   Stay updated on Maryland’s sales tax laws to ensure ongoing compliance.

By adhering to these obligations, FBA sellers can ensure compliance with Maryland’s sales tax regulations, avoiding penalties and maintaining good standing within the state.