Amazon recently announced that they would build their first fulfillment center in North Carolina, creating 1,500 full time jobs in the city of Charlotte. The fulfillment center is now active and is located just outside of Charlotte in Concord.
This is the first Amazon fulfillment center in Charlotte, though Amazon already operates a sort center in Concord, North Carolina.
What does North Carolina’s first fulfillment center mean for Amazon FBA Sellers?
As an FBA seller, you are probably familiar with the fact that storing inventory in a fulfillment center usually creates sales tax nexus for online sellers. North Carolina is no exception. (You can read what creates sales tax nexus in North Carolina, and every state, here.)
Once the Concord, North Carolina Amazon fulfillment center opens, we recommend taking the following steps:
1.) Determine if you have products stored in North Carolina – You can do this by running your Inventory Event Detail Report in Amazon Seller Central or by logging into your TaxJar account and looking for the brown Amazon badge next to the state of North Carolina.
If you do have products stored in North Carolina, and you determine that that creates sales tax nexus for you company, your next step is to:
2.) Register with the state – Here’s what you need to know to register for a North Carolina Sales Tax Permit.
3.) Collect Sales Tax from Your North Carolina Customers – If you have nexus in North Carolina, be sure you are collecting sales tax from all of your buyers in that state. Here’s how to set up sales tax collection through Amazon Seller Central:
4.) Find out more – Check out our North Carolina Sales Tax Guide for Businesses for more about what you need to know about North Carolina sales tax.
5.) Use TaxJar to simplify your sales tax – If your sales tax compliance chores are getting out of hand, save time and money by letting TaxJar file your sales tax for you. Try a 30-day free TaxJar trial today!
I hope this has answered your questions about what the upcoming North Carolina fulfillment center means for FBA sellers. While the facility isn’t open yet, check back here for more info as it happens!
See a comprehensive list of all Amazon Fulfillment Centers here.
Have questions or something to say? Start the conversation in the comments!