Can you sell online without paying taxes?
Ava Robinson
Published Feb 28, 2026
The basic rule for collecting sales tax from online sales is: If your business has a physical presence, or “nexus”, in a state, you must collect applicable sales taxes from online customers in that state. If you do not have a physical presence, you generally do not have to collect sales tax for online sales.
Can you sell stuff without tax?
In California, all retail sales of tangible personal property are subject to sales or use tax unless the law provides a specific exemption or exclusion. Tangible personal property is an item (e.g., merchandise, goods, etc.) This is true whether the merchandise was sold through a storefront or out of a home.
What states don’t require sales tax on online purchases?
The following states do not have an Internet sales tax:
- Alaska.
- Delaware.
- New Hampshire.
- Montana.
- Oregon.
Do you have to pay sales tax when selling on the Internet?
The basic rule for online sellers when collecting sales tax is: Your business has sales tax nexus in the same state as your customer. The product is taxable in that state. Let’s explore these concepts a bit more in-depth.
Is there any way to avoid sales tax online?
Some online sellers make deals to remit tax for sales in certain states. The website will tell you or will add the tax when you check out. 2. Try Smaller Websites and eBay Merchants. You might escape sales tax if you buy from smaller merchants who don’t collect tax on shipments to your state. 3. Get to Smaller Merchants Directly.
Do you have to pay sales tax if you buy from out of State?
If you buy online from a merchant that has a store in your state, you pay sales tax even if you buy online, and even if the goods are shipped from out-of-state. These days, even if the online merchant doesn’t have a store in your state, you still might pay.
How to calculate sales tax for an online business?
The basic rule for online sellers when collecting sales tax is: 1 Your business has sales tax nexus in the same state as your customer. 2 The product is taxable in that state. More …