Understanding Sales Tax in Georgia: A Complete Guide

Key Takeaways

• Economic Nexus thresholds in Georgia are $100,000 in sales or 200 transactions in the current or prior calendar year for remote sellers and marketplace facilitators.
• Marketplace facilitators must collect and remit sales tax on marketplace retail sales if they meet nexus thresholds.
• Digital products and certain digital goods became taxable in Georgia under a new rule effective January 1, 2024.
• Local sales tax rates change frequently at the county level, and multiple rate adjustments took effect in 2025 and early 2026.
• Georgia participates in the Streamlined Sales Tax system for simplified multi-state registration and filing.

Do You Need to Collect and Remit Sales Tax in Georgia? 

Georgia law requires businesses with a physical presence (physical nexus) in the state to collect and remit Georgia sales tax on taxable sales. This includes traditional retail stores and certain service providers.

Remote sellers may also be required to collect and remit Georgia sales and use tax if they establish economic nexus in the state. Whether a business must register for a Georgia sales tax license and collect tax ultimately depends on whether it has nexus in Georgia.

Note: Most services in Georgia are exempt from sales tax, including tattoos, body piercings, salon services, and itemized charges for repair or installation labor. However, exemptions vary, and businesses should review the Georgia Department of Revenue (DOR) guidance to confirm whether a specific service or transaction is taxable.

New Digital Product and Digital Good Taxation

It’s important to remember that just because a product isn’t taxable now doesn’t mean it won’t become taxable in the future. A recent example is Georgia’s treatment of digital products and digital goods.

Effective January 1, 2024, Georgia adopted Rule 560-12-2-.118, which clarifies the tax treatment of certain digital products and specified digital goods. Under this rule, many digital items delivered electronically may now be subject to Georgia sales and use tax.

Taxable digital goods may include:

• Digital artwork
• Digital books and publications
• Digital videos and movies
• Other downloadable or permanently accessed digital content

Businesses selling digital products to Georgia customers should carefully review these rules to ensure proper tax collection.

Do You Have Sales Tax Nexus in Georgia? 

Nexus is the connection or presence a business has in a state that triggers a requirement to collect and remit sales and use tax. In Georgia, nexus exists in two main forms:

• Economic Nexus
• Physical Nexus

Physical Sales Tax Nexus in Georgia 

Physical nexus is established when a business has a physical presence in Georgia. For example, opening a retail location in the state generally makes the business a “dealer” for sales tax purposes and requires registration for a Georgia sales tax license.

Other examples of activities that create physical nexus include:

• Having employees, sales representatives, or contractors working in Georgia
• Storing inventory in a Georgia warehouse or fulfillment center (including third-party fulfillment centers)
• Selling products at trade shows, fairs, conventions, or similar events in the state

Once physical nexus exists, the business must register with the Georgia DOR and collect Georgia sales tax, regardless of sales volume.

Economic Sales Tax Nexus in Georgia 

If your business is located outside Georgia or operates exclusively online, economic nexus may still apply. Economic nexus is triggered when, in the current or prior calendar year:

• Gross revenue from Georgia sales exceeds $100,000, or
• The business has 200 or more separate in-state transactions

Meeting either threshold requires the business to register for a Georgia sales tax license and begin collecting and remitting tax.

Are Marketplace Facilitators Required to Collect and Remit Sales Tax in Georgia? 

Yes. Like other remote sellers, Georgia treats marketplace facilitators as “dealers”. If a marketplace facilitator meets Georgia’s economic nexus thresholds, it must collect and remit Georgia sales tax on all facilitated retail sales sourced to Georgia.

If you sell through a marketplace facilitator such as Amazon or Etsy, the marketplace is generally responsible for collecting and remitting the tax on those sales. Importantly, if you sell through multiple platforms—some of which are not marketplace facilitators—you should not include marketplace facilitated sales when tracking your own economic nexus thresholds.

What Platforms Qualify as Marketplace Facilitators?

Common marketplace facilitators include: 

• Amazon 
• eBay 
• Shopify Shop App
• Etsy 
• Walmart Marketplace

When these platforms meet nexus requirements, they assume responsibility for sales tax collection, reducing the compliance burden for third-party sellers.

Filing Sales Tax in Georgia

Filing Georgia sales and use tax correctly involves three essential steps:

• Register with the state
• Collect sales tax at the correct rate
• Gather your sales information and file your return

Register for Georgia Sales Tax

Before collecting or remitting sales tax in Georgia, you must register for a sales and use tax account through the Georgia Tax Center (GTC). Registration is performed online via the Department of Revenue’s portal.

If your business also requires registration in other states, Georgia participates in the Streamlined Sales Tax (SST) system, allowing you to submit a single application to register in Georgia and other SST member states. Once registered, you’ll receive a Georgia tax account number by email, which you will use when filing and remitting taxes.

Collect at the Correct Sales Tax Rate

Once registered, you are responsible for collecting Georgia sales tax at the correct rate.

• Georgia State Sales Tax Rate: The base Georgia state sales tax rate is 4%.
• Local Sales Tax Rates: Counties and cities may impose additional local option taxes (such as LOST, SPLOST, TSPLOST, and MOST). These local taxes can increase the total Georgia sales tax rate significantly, with combined rates commonly ranging from 4% to 9%, depending on location.

Because local jurisdictions regularly adopt, amend, or retire local option taxes, Georgia’s sales tax rates change frequently. Doing business in multiple jurisdictions means you must determine and charge the correct rate based on the delivery address. The Georgia DOR updates quarterly sales tax rate charts—including January 1, April 1, July 1, and October 1—to reflect new local rate changes statewide.

Gather Your Sales Information and File Your Return

After registering and collecting tax at the appropriate rates, compile your sales tax data for the filing period, including taxable sales, exempt sales, collected taxes by jurisdiction, and any adjustments.

From there, you can file using one of three methods:

• Online Filing: Filing through the Georgia Tax Center is strongly encouraged. If your tax liability exceeds $500 for the period, you are required to file and pay electronically.
• Paper Form (ST-3): If you’re not required to file electronically, you may use the appropriate Form ST-3 and mail it by its due date. Always verify you’re using the correct version for the period you’re filing.
• Professional Filing Assistance: Many businesses use professional services, such as SalesTaxSolutions.US, to help manage compliance across jurisdictions.

When Are Sales Tax Returns Due in Georgia? 

Georgia sales tax returns are generally due by the 20th of the month following the reporting period. Zero returns are required even if no tax is due.

Filing frequency—monthly, quarterly, or annually—is based on tax liability and is assigned after registration. Newly registered businesses are required to file monthly for the first six months. After that period, taxpayers with an average liability of less than $200 per month may request a reduced filing frequency. See the graphic below for a breakdown of these frequencies and their due dates.