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

The Short Answer

Indiana is one of the cleanest states for sales tax compliance: flat rate, no local taxes, SST member. Threshold is $100,000 in sales OR 200 transactions. SaaS is taxable. Register once, use one rate, file quarterly.

Economic Nexus Threshold

• Dollar threshold: $100,000 in gross receipts from retail transactions into Indiana
• Transaction threshold: 200 or more separate transactions
• Either/Or: Meeting either triggers the obligation
• Effective date: October 1, 2018

Does Indiana Count Marketplace Sales Toward Your Threshold?

Marketplace facilitators collect and remit Indiana sales tax. Marketplace sellers are generally relieved when the MF is collecting. Taxero confirms your situation during onboarding.

What Taxable Products Look Like in Indiana

• State rate: Flat statewide, no local additions anywhere
• Groceries: Most food exempt. Prepared food taxable.
• OTC drugs: Exempt in Indiana
• Clothing: Taxable
• SaaS and digital goods: Taxable. Indiana follows SST definitions — SaaS is a specified digital product subject to Indiana's standard rate.

How to Register in Indiana

Indiana is an SST member:

• SST SSTRS: sstregister.org — preferred path
• Direct: INtax at intime.dor.in.gov
• Cost: Free

Filing Requirements

Monthly, quarterly, or annual based on liability. File Form ST-103 via INtax. Due date approximately last day of the following month.

What Happens If You Don't Register

Late filing: 10% of tax due or $5, whichever is greater. Interest applies.

How Taxero Handles Indiana

Indiana's flat-rate, no-local-complexity structure means our Indiana workflow is highly automated. SST registration, SaaS taxability applied correctly, quarterly ST-103 filings. One of the simplest states in our system.

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