Sales Tax Questions
Beginner Quick Answer

Does Walmart Marketplace collect and remit sales tax for sellers?

⚡ TL;DR

Yes — Walmart Marketplace collects and remits sales tax on third-party seller transactions in all US states with a sales tax. Coverage applies only to Walmart.com transactions; your own Shopify store and other channels are entirely your responsibility. In most states, Walmart sales also count toward your economic nexus threshold, which can create collection obligations on your direct-channel sales.

Yes. Walmart is a marketplace facilitator and collects and remits sales tax on third-party Walmart Marketplace transactions in all US states with a sales tax.

For sales made through Walmart.com, Walmart handles collection and remittance on your behalf, you don’t need to configure collection for those transactions or file returns for Walmart sales. Walmart issues sellers a form at year-end reflecting what was collected on their behalf.

What Walmart’s collection covers

Walmart’s collection applies to transactions completed through the Walmart Marketplace platform, sales where the customer bought on Walmart.com and the order was fulfilled by you as a third-party seller.

What it doesn’t cover

The same limitations that apply to Amazon apply here:

Your own-channel sales. If you also sell on your own Shopify store, direct website, or any other channel, Walmart’s collection covers nothing there. You’re responsible for collecting and remitting on those sales in every state where you have nexus.

Physical nexus. If you store inventory in a Walmart fulfillment center or have any other physical presence in a state, you have physical nexus there (and a registration obligation) regardless of Walmart’s collection on your Walmart sales.

The economic nexus threshold. In most states, your Walmart sales count toward your economic nexus threshold. Crossing $100K in Walmart sales in a state can create a nexus obligation for your direct-channel sales there, even though Walmart collected the tax on the Walmart side.

Walmart and Amazon together

Sellers who list on both Walmart Marketplace and Amazon (and also run their own Shopify store) have marketplace collection covering their marketplace sales on all channels. Their direct-channel sales are their own responsibility in every nexus state. The marketplace sales still count toward thresholds in most states.

Related: How do I handle sales tax when I sell on Amazon AND my own Shopify store simultaneously?

Frequently asked questions

Does Walmart Marketplace collect sales tax for third-party sellers?
Yes. Walmart is a marketplace facilitator and collects and remits sales tax on behalf of third-party Walmart Marketplace sellers in all states with a general sales tax. This applies to transactions completed through Walmart.com.
Do Walmart Marketplace sales count toward my economic nexus threshold?
In most states, yes. Marketplace-facilitated sales (including Walmart) generally count toward your economic nexus threshold even though Walmart is collecting the tax. Crossing the threshold via Walmart sales can create a nexus obligation for your own-channel sales in that state.
Does Walmart collecting tax mean I don't need to register in those states?
Not necessarily. If you have physical nexus in a state, from warehouse storage, a remote employee, or other physical presence, you still need a permit there regardless of Walmart's collection. And Walmart's collection doesn't cover any sales you make on your own website or other channels.

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