Drop shipping sales tax nexus

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So I've always been curious about starting a drop shipping business. I mean no inventory, and you paying for the wholesale item not until it's purchased sounds great and risk free, but the whole nexus law that differs from state to state has made the idea more cringing and frustrating than I chose to put the effort toward learning in. Say I start up an eBay store. Okay, so obviously if I live in Michigan and sell to someone in Michigan, I must charge the customer tax, and if they live elsewhere I do not. However if I use a third party company (let's say Amazon) to ship the item for me to a customer in another state and Amazon has a distribution center in that state, that could give me nexus depending on the state and I would have to charge the customer the appropriate tax. Some states say it's the drop shippers responsibility, where as some say it's the retailers, and some consider the relAtionship between the two not nexus related. Can anyone shed some insight on this? My accountant said to not charge my customers tax and just pay tax on what the wholesale item costs, but that kind of sounds like an audit risk to me with how money hungry and broke the states are. Am I going to need to apply for a sales tax license in 48 different states or is this just a hassle that's not worth it. And if to add icing on the cake, most states are destination sales tax states, which means to calculate tax appropriately would be a full time job in itself. Any advice would be greatly appreciated!
#drop #nexus #sales #shipping #tax

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