Nexus by State

New York vs Michigan Sales Tax Nexus — Comparison 2026

Updated

Compare economic nexus thresholds, state and local rates, and filing rules in New York and Michigan.

MetricNew YorkMichigan
Economic nexus threshold$500,000$100,000
Transaction threshold100200
State rate4.00%6.00%
Avg. local rate4.52%n/a
Combined state + local8.52%6.00%
Marketplace facilitatorYesYes
Effective since2019-06-242018-10-01

Which state is easier for sellers?

For low-revenue sellers: nexus triggers first in Michigan because of its $100,000 threshold. If you cross that first, you register there first.

On rate: Michigan is friendlier for customers with a combined state + local rate of 6.00% vs 8.52%.

Both states have transaction-count triggers (New York: 100, Michigan: 200).

New York — nexus note

Economic nexus requires BOTH more than $500,000 in sales of tangible personal property AND more than 100 sales into New York in the prior four sales tax quarters. Unlike most states, New York uses AND logic — both thresholds must be met.

Michigan — nexus note

Economic nexus in Michigan triggers when remote sellers exceed $100,000 in gross sales OR 200 or more separate transactions into Michigan in the current or preceding calendar year — whichever is met first.

What to do next

Use the nexus calculator to check exactly which of New York and Michigan you've already triggered. Then read each state's full guide:

New York overview →Michigan overview →