Remote Sales

What is a Remote Sale?

A sale of an item by mail, telephone, internet, mobile phone application, or another method by a retailer who receives the order in another state and delivers the item or makes it accessible to a person in this state or causes the item to be delivered or made accessible to a person in this state or performs a service sourced to this state. It is presumed that a resident of this state who makes an order was in this state at the time the order was made.

When is a Remote Seller Required to Collect Tax?

A remote seller must collect sales and use tax when it is engaged in business in the state.  This includes when the remote seller has gross sales in excess of one hundred thousand dollars ($100,000) sourced to North Carolina in the previous or current calendar year (“Threshold”), including sales as a marketplace seller and marketplace-facilitated sales.

Note: Sellers with a physical presence in North Carolina or any other legal requirement to collect and remit sales and use tax in North Carolina must collect tax whether or not they exceed the Threshold.