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 to a person in North Carolina, or
- makes it accessible to a person in North Carolina, or
- causes the item to be delivered to a person in North Carolina, or
- causes the item to be made accessible to a person in North Carolina, or
- performs a service sourced to North Carolina.
It is presumed that a resident of North Carolina who makes an order was in North Carolina at the time the order was made.
When is a Remote Seller Required to Collect Tax?
A remote seller must register and 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.