Selling Live Across States: Sales Tax for Whatnot & TikTok Shop Sellers

Here's the direct answer: on orders placed through Whatnot or TikTok Shop, the platform handles the sales tax in the states that require it. Whatnot says that "sellers on Whatnot are not required to collect or remit sales tax on their transactions" (Whatnot). TikTok says it collects "on all sales made through TikTok Shop in jurisdictions that have enacted marketplace facilitator sales tax laws" (TikTok Shop).

That covers the tax at checkout, but it doesn't settle everything. Four things can still create obligations of your own: your live-show sales counting toward another state's threshold once you also sell elsewhere, inventory you keep in another state, selling in person at a show in another state, and sales you make off the app. Your home state also has its own rules. This guide covers each one.

Key Takeaways

• Whatnot and TikTok Shop collect and remit sales tax on their own orders where marketplace facilitator laws require it. Neither covers sales you make anywhere else.
• Whether your platform sales count toward another state's threshold depends on the state. Texas, California, New York and Washington count them; Florida excludes them.
• Selling at a show or market in another state can require that state's permit. Texas requires event sellers, "including sellers from outside Texas," to hold a Texas permit (Texas Comptroller).
• Sales off the app, like your own site or a direct invoice, are yours to collect on where you're required to.
• Home states disagree about marketplace-only sellers: Texas requires a permit from sellers who live there, while California generally doesn't if every sale goes through a registered marketplace.

What Whatnot and TikTok Shop Handle for You

Both platforms act as marketplace facilitators. The Multistate Tax Commission says "All states that impose sales tax have since enacted marketplace facilitator tax collection requirements," and that "Generally, the marketplace facilitator is the 'responsible party' for sales or use tax collection and remittance" (MTC).

Whatnot says "Where required in the states and territories of the U.S., Whatnot collects sales taxes on behalf of sellers," and publishes a list rather than a count (Whatnot). The list covers every state with a statewide sales tax, plus D.C., Puerto Rico, listed Alaska municipalities and Colorado cities. "Alaska does not have a state sales tax" (ARSSTC), but Whatnot names the local jurisdictions it collects for, including the Alaska Remote Seller Sales Tax Commission (Whatnot).

TikTok Shop's seller terms say "For sales to buyers based in marketplace jurisdictions, TT Commerce & Global Services will calculate, collect, and remit the sales tax on your behalf" (TikTok Shop). Its sales tax FAQ lists the states it collects for.

Both stop at their own orders. Whatnot says "Sellers may still have sales tax reporting requirements for which Whatnot takes no responsibility" (Whatnot). TikTok's terms say "Except for sales tax collection and remittance into marketplace jurisdictions, you are responsible for complying with all applicable tax laws" (TikTok Shop).

For each platform on its own, see our Whatnot sales tax guide and TikTok Shop sales tax guide.

Do Your Live Sales Count Toward Other States' Thresholds?

This matters most once you sell somewhere besides the platforms. Texas and California, for example, don't require an out-of-state seller to register if every sale goes through collecting marketplaces (Texas with the marketplace's certification), though Washington still expects B&O filings above its threshold, as shown below. If you also sell on your own, your marketplace volume can push you over a state's economic nexus threshold for those other sales. States don't agree on whether marketplace sales count.

Texas gives a worked example: a remote seller with "$300,000 in total sales into Texas through its website and $300,000 in sales through multiple marketplaces" isn't covered by the safe harbor, and "is required to collect and remit tax for Texas sales made through its website" (Texas Comptroller). The marketplace still handles its own orders. What changes is your obligation on everything else.

Two exits are worth knowing. Texas tells a remote seller who sells only through a marketplace: "You do not need a permit if you have received and accepted in good faith a certification that the marketplace provider will collect sales and use tax. However, you must retain required records of all marketplace sales for at least four years" (Texas Comptroller). California doesn't require registration above its threshold if "all of your sales for delivery in California are facilitated by marketplace facilitators that are retailers for purposes of those sales" (CDTFA). Washington is different: "Marketplace sellers who meet Washington nexus criteria are required to report and pay B&O tax, even if sales of products or services are only made through marketplace facilitator(s)" (Washington DOR). B&O is Washington's business and occupation tax, which is separate from sales tax.

The states above are examples, not a survey. Check each state where your total sales are getting large. Our guide to economic nexus explains how thresholds work.

When Your Inventory Is in Another State

Keeping stock in another state can create a physical presence there, but the rules are narrower than you might expect.

• Texas: a remote seller "below the $500,000 safe harbor threshold" with goods "temporarily stored in Texas at a marketplace provider's facility does not need to obtain a permit and does not have a collection obligation if the marketplace provider has certified it will assume the duties of a seller." Above $500,000 with inventory stored there, "you must obtain a tax permit and collect tax on your sales" (Texas Comptroller).
• California: for an out-of-state seller with inventory in a commingled third-party fulfillment center that also makes some sales through its own website, CDTFA says "you are engaged in business in California because you have a physical presence in this state (inventory) and you are making retail sales of tangible merchandise that are not facilitated by a marketplace facilitator" (CDTFA).

Both rules are narrow: Texas's is about goods stored at a marketplace provider's facility, and California's is about a commingled third-party fulfillment center. Neither is about shipping everything from home.

Selling in Person at Shows in Another State

At a card show, convention or flea market in another state, there's no marketplace between you and the buyer for a cash or card sale at your table, and Texas and California both treat selling there as selling in the state.

Texas: "Sellers at fairs, festivals, markets and shows, including sellers from outside Texas participating at these events, are engaged in business in Texas and must have a Texas Sales and Use Tax Permit if they: Sell taxable items or services; Take orders for taxable items or services; or Use the event to promote selling taxable items or services." The Comptroller adds: "If you sell at different events around Texas, you will collect tax based on the location of each event," and "There is no fee to apply for a permit." Promoters can be on the hook too, for sales by sellers "who do not have an active Texas Sales and Use Tax Permit" (Texas Comptroller).

California: "if you will be selling items at a location for less than 90 days, you are considered a temporary seller, and are required to hold a temporary seller's permit." For conventions and trade shows, sellers who "make sales or take orders for sales at or during the conventions or trade shows" are "generally required to hold either an ongoing or temporary seller's permit," and which one depends on who you are: "For in-state retailers, you must obtain an ongoing seller's permit if you are engaged in the business of selling tangible personal property. Out-of-state retailers that exceed specific sales thresholds are required to obtain an ongoing seller's permit. Retailers not exceeding these thresholds are only required to obtain a temporary seller's permit." If you already hold a seller's permit, you "must register for a sub-permit for each of your temporary locations." And "Obtaining a temporary seller's permit is easy and free" (CDTFA).

Selling in person in California also matters for your marketplace sales there. California's exemption from registering applies only when all of your retail sales go through registered marketplaces, so in-person sales take you outside it.

Sales Off the App Are Yours

Marketplace collection covers only marketplace orders. The MTC puts it simply: "A marketplace seller is subject to audit on all activity that is not administered by a marketplace facilitator" (MTC). States say the same:

• Texas: "You must collect, report, and remit Texas tax on sales made outside the marketplace" (Texas Comptroller).
• California: "if you make any sales other than those facilitated by a marketplace facilitator, such as through your own website, you may be required to register" (CDTFA).
• New York: a registered vendor that also sells through marketplaces is "still responsible for collecting sales tax on" taxable transactions "not facilitated by a marketplace provider" (NY DTF).

Off-app sales include a sale on your own site, a direct invoice, or a deal arranged in messages. Whatnot's local pickup option is different, because it "works only for purchases made during your shows" (Whatnot). Whatnot doesn't say how sales tax works on those pickup orders, so check your pickup orders' tax lines rather than assuming. What it does say is that items sold in person through cash or other direct payment "aren't eligible for Whatnot Buyer Protection, nor will we be able to offer support for these transactions," and "Also encouraging or participating in these transactions on Whatnot violates our Community Guidelines" (Whatnot). So a cash deal at a pickup is off the platform, and against Whatnot's rules if it's with a Whatnot buyer.

Your Home State Still Gets a Say

Where you live can matter more than where your buyers are. Texas and California give opposite answers for a seller based there who sells only through marketplaces:

• Texas: "If I live in Texas and sell only through a marketplace whose marketplace provider has certified it will collect and remit Texas sales tax on my behalf, do I need a sales tax permit?" The Comptroller's answer: "Yes. As a Texas seller, you have physical presence in Texas and must have an active sales and use tax permit" (Texas Comptroller).
• California: "you as a marketplace seller are not required to be registered with CDTFA for a seller's permit or a Certificate of Registration – Use Tax if all of your retail sales of merchandise will be facilitated by a marketplace facilitator that is registered as a retailer with CDTFA" (CDTFA).

Our guide to whether you need a reseller permit to sell online covers more home-state answers, including New York's.

A Cross-State Checklist for Live Sellers

1. List every channel. Whatnot, TikTok Shop, other marketplaces, your own site, direct invoices, in-person shows.
2. Check your home state's rule for marketplace sellers based there.
3. Total your sales by state across all channels, including marketplace sales, for states that count them.
4. Compare each total with that state's threshold, using the state's own wording.
5. Before a show in another state, check that state's event-seller rules. Texas and California both require a permit for selling at events.
6. Collect tax on off-app sales in states where you're registered or required to be.
7. Keep your marketplace records. Texas requires remote marketplace-only sellers to keep them "for at least four years."

Frequently Asked Questions

Does Whatnot collect sales tax in every state?

Whatnot collects where required. Its published list covers every state with a statewide sales tax, plus D.C., Puerto Rico, listed Alaska municipalities and Colorado cities. Alaska has no state sales tax, but Whatnot collects for the local jurisdictions on its list.

Do my Whatnot or TikTok Shop sales count toward other states' economic nexus thresholds?

It depends on the state. Texas, California, New York and Washington count marketplace sales toward a seller's own threshold. Florida excludes them. It matters most when you also sell outside the platforms, because the marketplace still handles its own orders.

Do I need a permit to sell at a card show in another state?

In Texas and California, yes. Texas requires sellers at markets and shows, including sellers from outside Texas, to hold a Texas permit if they sell or take orders for taxable items. There's no fee to apply, though the Comptroller can require a security bond in some cases. California requires an out-of-state seller below its sales thresholds to hold a temporary seller's permit for selling at one location for less than 90 days, which is free; in-state retailers and out-of-state retailers above the thresholds need an ongoing permit, with a sub-permit for each temporary location. Check the rules of any other state before you book a table.

If I live in Texas and only sell on Whatnot, do I need a Texas permit?

Yes. The Texas Comptroller says a Texas seller who sells only through a marketplace that has certified it will collect "must have an active sales and use tax permit." An out-of-state seller with no other Texas activity who sells into Texas only through a certifying marketplace doesn't need one.

Do I owe sales tax when a buyer pays me directly after a show?

That sale isn't on the platform, so the platform isn't collecting on it. In states where you're registered or required to be, it's your sale to collect tax on. Texas, California and New York each say sales outside a marketplace are the seller's to handle.

The Bottom Line for Live Sellers

Whatnot and TikTok Shop take care of the sales tax on their own orders. What can still create obligations of your own: selling outside the apps, setting up at shows in other states, keeping inventory in another state, and in some states, simply living there. Track your sales by state across every channel, and check a state's event rules before you book a table.

If you sell live and anywhere else, run a free Taxero nexus check across your marketplace and direct sales.

This article is for general information only and is not tax, legal, or accounting advice. Rules change and your situation is specific, so consult a tax professional or the state's own guidance.