Texas economic nexus threshold for sales tax
Data version 2026-Q3 · reviewed 2026-07-14
If you sell into Texas without a physical presence, you may still be required to register for, collect, and remit sales tax once your sales cross the state's economic nexus threshold. Here is where Texas stands.
Texas threshold at a glance
| Revenue threshold | $500,000 |
|---|---|
| Transaction threshold | None |
| How they combine | Revenue only |
| Measurement period | Preceding 12 calendar months |
| State sales-tax rate | 6.25% |
What this means for remote sellers
Texas uses a revenue-only economic nexus threshold. You establish nexus once your gross sales into Texas reach $500,000 during preceding 12 calendar months. The number of separate transactions does not affect the threshold.
How Texas compares to other states
At $500,000, Texas sets a higher bar than the typical $100,000 threshold — only 3 jurisdiction(s) require this much in sales. It is one of 29 jurisdictions that look at revenue only — the number of transactions does not count. Its 6.25% base sales-tax rate sits above the roughly 5.7% average state rate.
How the Texas threshold is measured
Texas measures the threshold over Preceding 12 calendar months. Gross sales generally include taxable and (in many states) exempt sales; rules on marketplace-facilitated sales vary. Verify the specifics with the Texas department of revenue.
Do marketplaces collect Texas sales tax?
Texas requires marketplace facilitators — platforms such as Amazon, Etsy, eBay, and Walmart — to collect and remit Texas sales tax on sales made through them. If you sell only through those marketplaces, the platform generally collects the tax for you. Sales you make directly — through your own website or store — still count toward your Texas economic nexus threshold and remain your responsibility. Whether marketplace-facilitated sales also count toward your own threshold varies, so confirm with the Texas Comptroller of Public Accounts.
What to do if you've crossed it
- Register with the Texas Comptroller of Public Accounts for a sales-tax permit.
- Begin collecting tax on taxable sales to Texas customers.
- File and remit on the schedule the state assigns.
- Confirm treatment of marketplace sales and any local taxes with a professional.
Not sure where you stand?
Check your economic nexus exposure across all 50 states and DC in seconds — free.
Tools to get compliant
Triggered nexus somewhere? These tools handle registration, collection, filing, and remittance so you don't have to.
Some links here are partner links (we may earn a commission at no extra cost to you). For partners marked "introduce me," choosing it shares the contact details you enter with that partner — only with your consent — so they can reach out. We only list tools we'd point a seller to.
Texas economic nexus FAQ
What is the economic nexus threshold in Texas?
Texas uses a revenue-only economic nexus threshold. You establish nexus once your gross sales into Texas reach $500,000 during preceding 12 calendar months. The number of separate transactions does not affect the threshold.
Do remote sellers have to collect Texas sales tax?
If your sales into Texas cross the threshold ($500,000) during preceding 12 calendar months, you generally must register, collect, and remit Texas sales tax.
Does Texas count the number of transactions?
No. Texas measures only revenue ($500,000); the number of transactions does not matter.
When did Texas's economic nexus rules take effect?
Texas began enforcing economic nexus on October 1, 2019. Economic nexus stems from the 2018 South Dakota v. Wayfair Supreme Court decision; states phased in their rules afterward. Note: Single local use tax rate option available for remote sellers.
What is the sales tax rate in Texas?
Texas's statewide base sales-tax rate is 6.25%. Local jurisdictions may add their own tax, so the total rate at a given address is often higher. Once you establish nexus, you collect at the combined state and local rate for the destination.
Do marketplaces like Amazon collect Texas sales tax?
Yes. Texas requires marketplace facilitators — platforms such as Amazon, Etsy, eBay, and Walmart — to collect and remit sales tax on sales made through them. Sales you make directly, through your own website or store, still count toward your Texas economic nexus threshold.
How do I register for a Texas sales tax permit?
Register with the Texas Comptroller of Public Accounts. You will need your business information and the date you first crossed the threshold. After registering, the state will assign a filing frequency based on your sales volume.
Related states
Informational only — not legal or tax advice. Verify with the Texas department of revenue and a qualified professional.