The first Amazon fulfillment center in Colorado began shipping items to customers last week. The Aurora, CO facility joins an Aurora sort center. A second Amazon fulfillment center has been announced for Thorton, Colorado.
Here are the vital details of the Aurora, CO Amazon fulfillment center:
Warehouse Code: #DEN2
Address: 24006 E. 19th Ave., Aurora, CO 80019-3705 – Adams County
Item type: Large, non-sortable items
What does the Colorado Amazon Fulfillment Center mean for Amazon FBA Sellers?
Storing inventory in a fulfillment center in a state almost always creates sales tax nexus for FBA sellers. If your inventory is stored in the Colorado Amazon fulfillment center, it may create sales tax nexus for your business. (You can see here what every state, including Colorado, has to say about what creates sales tax nexus.)
Now that the Aurora, Colorado Amazon fulfillment center is open, we recommend following these steps:
1.) Determine if you have products stored in Colorado – 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 Colorado. Before going any farther, you may also want to determine if your sales in Colorado are material. Read more about materiality and sales tax permits here.
If you do have products stored in Colorado, and you determine that that creates sales tax nexus for you company, and that your sales are material, your next step is to:
2.) Register with the state – Here’s what you need to know to register for a Colorado Sales Tax Permit.
3.) Collect Sales Tax from Your Colorado Customers – If you have nexus in Colorado, 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 Colorado Sales Tax Guide for Businesses for more about what you need to know about Colorado sales tax.
I hope this has answered your questions about what the first Colorado fulfillment center means for FBA sellers.
See a comprehensive list of all Amazon Fulfillment Centers here. Have questions? Start the conversation in the comments or join more than 8,000 of your fellow online sellers and sales tax pros in our Sales Tax for eCommerce Sellers Facebook Group.