What is trailing nexus?

Most states make you keep filing for a while after you drop below their threshold. California runs through the next full calendar year. Texas uses a rolling twelve months. We track each state's rule so you cancel on the right date, not too early.

Will I get in trouble for canceling a permit?

Not if you do it in the right order. We file every outstanding and final return first, then guide the cancellation. The real risk is canceling early or skipping a final return, which is exactly what we prevent.

Which platforms do you support?

Amazon, Shopify and WooCommerce, with BigCommerce, Etsy, Walmart and eBay supported through manual entry. You can also enter your states by hand on any platform.

Do you file my returns?

Yes. During the wind-down we file the zero-dollar returns so nothing lapses, and once you're deregistered in a state there's nothing left to file.

How is this different from Avalara or TaxJar?

They help you register and file more. We help you deregister and file less. We only charge for the states you keep.

No. TrailingZero is software that flags deregistration opportunities and handles filings. For complex situations we tell you when to bring in your accountant.

Is TrailingZero live?

Yes. Free audits are live now — run yours in minutes. Connect a store read-only or enter your registered states by hand to see which you can cancel and what it saves.

Do marketplace sales count toward economic nexus in District of Columbia?

Yes, they count toward the threshold even though the marketplace collects the tax.

No. This page is general education built from public sources and the rules change often. Confirm your specific situation with the state's tax authority or your accountant before you register or deregister.

Economic nexus

District of Columbia economic nexus threshold

District of Columbia's economic nexus rule decides when out-of-state sellers must collect sales tax. Here's the current threshold, how it's measured, and how the transaction-count rule has changed.

By John DoeReviewed by Jane Doe, CPAUpdated June 2026How we verify

Verify before you act

Sources currently disagree on some details for this state — especially the trailing-nexus window and how to deregister — so we've flagged it for manual review. Treat this page as a starting point and confirm with DC Office of Tax and Revenue (OTR) or a tax professional before you register or deregister.

Sales threshold: $100,000
Transaction threshold: 200 transactions
Logic: sales or transactions
Measured over: previous or current calendar year
Effective: January 2019

Source: DC Office of Tax and Revenue (OTR)

Nexus & savings calculator

Estimate whether you still have nexus in District of Columbia — and what canceling could save.

State

Annual sales into District of Columbia

Transactions (orders) per year

I have physical presence hereFBA/3PL inventory, an employee, or an office in District of Columbia

Filing frequency

Cost per return

Physical presence
Sales over $100,000
Over 200 transactions

Still has nexus

You likely still have nexus in District of Columbia because of more than 200 transactions — District of Columbia still counts transactions. Keep filing here for now.

Trailing nexus: District of Columbia has limited or no trailing-nexus window — you can generally deregister once your nexus has ended and final returns are filed.

Filing cost here today

$600/ yr

Read the District of Columbia guide →

Estimate only — general education, not tax advice. Confirm with District of Columbia's tax authority before you register or deregister.

What is economic nexus in District of Columbia?

Economic nexus means you can owe sales tax in District of Columbia based purely on your sales volume there — no physical presence required. It traces to the 2018 South Dakota v. Wayfair decision. District of Columbia's threshold took effect January 2019.

Today the threshold is $100,000 in sales or 200 transactions, measured over previous or current calendar year.

The transaction-count history

District of Columbia still counts transactions: crossing 200 transactions creates nexus even on modest revenue.

If your only nexus reason is the transaction count, watch it closely — a low-revenue, high-order business can cross it.

What counts toward the threshold

gross receipts from retail sales delivered into DC; exempt sales count toward threshold; resale/wholesale sales with valid resale certificates excluded; marketplace sales are included in individual seller threshold count

Marketplace-facilitated sales (Amazon, Etsy, eBay) count toward your District of Columbia threshold even when the marketplace remits the tax.

Where TrailingZero fits

TrailingZero connects to your store read-only, maps where you actually have nexus state by state, and tracks your sales against District of Columbia's threshold so you register only when you truly cross it — and deregister when you fall below. During any wind-down it can file the zero-dollar returns so nothing lapses — and you only pay for the states you genuinely keep. Run a free audit anytime; this page is free education either way.

District of Columbia Economic nexus FAQ

What is the economic nexus threshold in District of Columbia?: $100,000 in sales or 200 transactions, measured over previous or current calendar year, in effect since January 2019.
Did District of Columbia remove the 200-transaction rule?: District of Columbia still counts transactions: crossing 200 transactions creates nexus even on modest revenue.
Do marketplace sales count toward economic nexus in District of Columbia?: Yes, they count toward the threshold even though the marketplace collects the tax.
Is this tax advice?: No. This page is general education built from public sources and the rules change often. Confirm your specific situation with the state's tax authority or your accountant before you register or deregister.

See what you can stop paying in District of Columbia

Run a free audit and see which registrations you can drop — in minutes, no card required.

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Other states

See all states →

Sources

Primary sources reviewed for this page. Data current as of June 2026.

TrailingZerois software, not a CPA or law firm, and this page is general education — not tax or legal advice. State rules and thresholds change frequently; confirm your situation with the state's tax authority or your accountant before you register or deregister. See how we research and review this data in our editorial & accuracy policy.