Sales Tax Nexus in Georgia: What Online Sellers Need to Know

The Short Answer

Georgia triggers a sales tax obligation at $100,000 in direct sales OR 200 transactions — whichever comes first. Marketplace-facilitated sales (Amazon, Etsy, etc.) don't count toward your threshold. Good news for SaaS sellers: cloud software is not taxable in Georgia. However, downloaded digital goods have been taxable since January 1, 2024.

Economic Nexus Threshold

• Dollar threshold: $100,000 or more in annual gross retail sales into Georgia
• Transaction threshold: 200 or more separate retail transactions into Georgia
• Either/Or: Meeting either threshold triggers the obligation
• Measurement period: Previous or current calendar year
• Effective date: January 1, 2019

Does Georgia Count Marketplace Sales Toward Your Threshold?

No. Marketplace-facilitated sales are excluded from the remote seller's own threshold in Georgia. Only your direct sales count toward the $100,000 / 200-transaction thresholds.

The marketplace facilitator has its own obligations — Amazon, Etsy, and similar platforms must collect and remit Georgia sales tax if their combined sales across all marketplace sellers reach $100,000. But that's the marketplace's responsibility, not yours.

If your only Georgia sales are through registered marketplace facilitators, you likely don't have a Georgia registration obligation.

What Taxable Products Look Like in Georgia

Georgia's base rate applies statewide, plus local county/city taxes that vary by location — combined rates differ meaningfully across the state, including in Atlanta (Fulton County). Check the Georgia Tax Center's rate lookup for your buyer's exact location.

• Clothing: Taxable in Georgia
• Groceries/Food: The state rate doesn't apply to most grocery food (H.B. 1437 eliminated the state food tax). However, most counties still apply their local food tax, so groceries typically still carry some local tax even though the state portion is zero.
• SaaS: Not taxable. Georgia does not tax SaaS or cloud-based software that customers access remotely. No software is transferred, so Georgia's sales tax doesn't apply.
• Downloaded digital goods (since January 1, 2024): Taxable. Georgia enacted H.B. 1058 in 2023, adding "certain digital property" to the taxable base effective January 1, 2024. Downloaded music, video, books, apps, and similar content are now taxable in Georgia.
• The key distinction: If a customer accesses your software remotely (SaaS) → not taxable. If they download a digital product → taxable as of 2024.

How to Register in Georgia

Georgia is not an SST member. Register via the Georgia Tax Center:

• Portal: gtc.dor.ga.gov
• Cost: Free
• Timeline: A few business days

Note: Georgia's portal has CAPTCHA requirements. Taxero handles this during registration.

Filing Requirements

Georgia assigns filing frequency based on your liability:

• Monthly: Larger filers
• Quarterly: Standard for most remote sellers
• Annual: Small filers

Due date: 20th of the month following the reporting period. File Form ST-3 electronically via Georgia Tax Center.

What Happens If You Don't Register

Georgia's penalty structure:

• Late filing penalty: 5% per month, maximum 25%
• Interest: Prime rate + 3%

Georgia has a voluntary disclosure program. Past-period exposure can typically be resolved with reduced penalties and a limited lookback period.

How Taxero Handles Georgia

Georgia has some nuanced rules that trip sellers up — particularly the 2024 digital goods change and the local grocery tax that persists even with zero state food rate. Taxero's product classifier correctly distinguishes between non-taxable SaaS and newly-taxable downloaded digital goods. We track your direct Georgia sales toward the $100,000/$200-transaction threshold (excluding marketplace sales), handle registration when you cross, and manage your county-level rate calculations and filings.

---

Get Your Free Nexus Report

Selling digital products or shipping into Georgia? Check your threshold position and digital goods classification.

Check Your Georgia Nexus Exposure →