How do I handle taxes if I do fairs in a neighboring state?

You want to expand to a nearby state, but the tax rules are unfamiliar. You are not sure what registration is required or how to file.

Selling products in multiple states or jurisdictions often triggers “nexus” requirements, which are the legal connections that require a vendor to collect and remit sales tax. In many states, once a sales tax permit is issued, the state requires the filing of regular tax returns, even if no sales were made during that specific period (often referred to as “zero-filing”). Because sales tax regulations often change and can be complex (including Wayfair/economic nexus guidance), vendors may want to regularly review the guidelines provided by each state’s Department of Revenue to stay current.

Check the neighboring state's tax agency for temporary vendor rules, register if required, and track sales separately. Save reports from each event so filings are accurate. Planning ahead keeps expansion smooth and compliant.