Why is my store charging tax in states other than California?

Topic summary

Store owners in California and Florida are unexpectedly charging sales tax to customers in Texas, despite believing they have no tax nexus (physical or economic presence) outside their home states.

Key concerns:

  • Both merchants thought only their home-state customers should be charged tax
  • Texas customers are being charged sales tax on orders
  • This appears to be a recent development—one merchant just discovered it
  • Neither believes they’ve reached sales thresholds that would trigger nexus in other states

Current status:

  • The issue remains unresolved with no explanation yet provided
  • One merchant questions if this is “a Texas thing,” suggesting possible state-specific tax rules
  • Screenshots have been shared showing the unexpected tax charges

Unanswered questions:

  • Why is the e-commerce platform automatically collecting tax in states where merchants claim no nexus?
  • Whether this affects other states beyond Texas
  • If platform settings need adjustment or if economic nexus thresholds were unknowingly exceeded
Summarized with AI on November 11. AI used: claude-sonnet-4-5-20250929.

I’m based in California and as far as I’m concerned, I don’t have a Nexxus anywhere else. I don’t believe I’ve made enough money to have one elsewhere. I randomly saw that one of my customers in Texas had to pay taxes on their order and then I just saw this right now. I will attach a screenshot. I’m in Southern California of course all of my Southern California or just California customers pay tax and their orders but why are people in these other areas having to be taxed as well?

1 Like

I have the same issue. I’m based in Florida, with no nexus anywhere else, and just had a customer in Texas who was charged sale tax. None of my other out of state customers have ever been charged tax until now. Is this a Texas thing?