Introduction to Nexus
Sales tax nexus is a legal obligation that requires businesses to collect and remit sales tax in a state where they have a significant presence. This presence can be established through physical nexus (having an office, warehouse, or employees in a state) or economic nexus (exceeding a state's sales or transaction threshold, even without a physical presence). Each state has its own rules for determining when a business meets these criteria.
Galvix helps you monitor your nexus exposure by analyzing transaction data from your billing system and any physical presence details you add to the platform. This allows you to stay compliant by identifying where you may need to register for sales tax collection.