Which marketplaces collect Alabama sales tax?

Amazon, Etsy, eBay, Walmart Marketplace, and most similar marketplaces collect Alabama sales tax on transactions they facilitate. Your direct-to-consumer sales (Shopify, website, wholesale) are your responsibility.

Is Etsy a marketplace facilitator in Alabama?

Yes — Etsy meets the marketplace facilitator definition in Alabama and collects Alabama sales tax on facilitated orders. Etsy sellers don't collect tax on those Etsy transactions, but direct (off-Etsy) sales remain the seller's responsibility.

Is eBay a marketplace facilitator in Alabama?

Yes — eBay is a marketplace facilitator in Alabama and collects, files, and remits Alabama sales tax on its facilitated transactions. The seller still tracks listings for income tax and resale-certificate purposes.

Is DoorDash a marketplace facilitator in Alabama?

Yes — DoorDash collects Alabama sales tax on delivery orders it facilitates and remits to the Alabama DOR. Restaurants and merchants typically receive remittance reports rather than collecting on those orders themselves.

Is Uber Eats a marketplace facilitator in Alabama?

Yes — Uber Eats acts as a marketplace facilitator in Alabama for the orders it processes, collecting and remitting the applicable Alabama sales tax on the food and delivery charges it bills.

Do marketplace sales count toward my Alabama nexus threshold?

In most states, marketplace-facilitated sales are EXCLUDED from the economic nexus threshold calculation. But Alabama may differ — verify before assuming.

Does Shopify qualify as a marketplace facilitator?

Standard Shopify (your own standalone store) does NOT qualify — you're the seller of record. Shopify Markets Pro, however, does qualify as a marketplace facilitator in many states.

Alabama Marketplace Facilitator Sales Tax Rules — 2026

Updated 2026-07-20

Reviewed by Nexus by State research team using official state tax sources. Last reviewed 2026-07-20.

Guide content last reviewed: 2026-07-20

Use this Alabama marketplace facilitator sales tax guide to check 2026 rules, collection requirements, effective-date notes, threshold counting, and how Amazon, Etsy, eBay, DoorDash, and Uber Eats orders differ from direct-store sales. Direct channels still use the $250,000 threshold.

Alabama's marketplace facilitator law

Alabama has a marketplace facilitator law: marketplaces (Amazon, Etsy, eBay, Walmart Marketplace) calculate, collect, and remit sales tax on your behalf for transactions they facilitate to Alabama buyers.

This significantly reduces your compliance burden if you sell primarily through marketplaces. But it does not exempt you from registering if you also have direct channels (your own store, wholesale, trade shows, etc.).

Key distinctions

Facilitated sales (collected by the marketplace): you generally don't collect or remit.
Direct sales (your own checkout): your responsibility as before.
Informational filings may still be required depending on Alabama's rules, even on marketplace-facilitated volume.
Most states exclude marketplace-facilitated sales from your economic nexus threshold calculation, but double-check Alabama specifically before assuming.

Marketplace-specific gotchas in Alabama

Not every platform you sell on is legally a marketplace facilitator. Shopify's store platform is not — you are the seller of record. Shopify's Markets Pro is. Verify per platform.
Wholesale sales through a marketplace are usually NOT marketplace-facilitated — the marketplace is a payment conduit, not the seller. Direct-collect obligations still apply.
Returning customers and refunds: if the marketplace remitted tax and you process a refund outside the marketplace, the refund usually needs to flow through the marketplace to trigger the tax reversal. Off-marketplace refunds create reconciliation headaches.

Alabama nexus note

Alabama sales/use tax nexus and economic nexus threshold: out-of-state sellers and marketplace facilitators with more than $250,000 in retail sales into Alabama during the previous calendar year must collect Alabama tax, and remote sellers may participate in the Simplified Sellers Use Tax (SSUT) program — a flat 8% sellers use tax on sales delivered into Alabama (Rule 810-6-2-.90.03; SSUT under Act 2015-448). Alabama uses a sales-only threshold — no transaction-count test. The $250,000 calculation counts only the seller's own retail sales; it excludes wholesale sales for resale and any sales made through an SSUT-participating marketplace that already collects Alabama tax. Marketplace facilitators meeting the $250,000 threshold have collected and remitted SSUT on facilitated Alabama sales (or complied with notice/reporting under §40-23-199.2) since January 1, 2019. If you exceed $250,000 in a calendar year, collection begins January 1 of the following year. SSUT participants may deduct a 2% timely-filing discount, capped at $8,000 per month. Alabama Department of Revenue source data last retrieved 2026-06-14.

What to do next

Read the full Alabama overview for thresholds, filing frequency, marketplace facilitator rules, and registration links. Use the nexus calculator to check whether you have crossed the threshold. For background on the post-Wayfair economic nexus framework, see the pillar guide.

Marketplace Facilitator sales tax in other states

Compare Alabama's marketplace facilitator rules with nearby and similar states' marketplace facilitator sales tax guides:

Frequently asked questions

Which marketplaces collect Alabama sales tax?: Amazon, Etsy, eBay, Walmart Marketplace, and most similar marketplaces collect Alabama sales tax on transactions they facilitate. Your direct-to-consumer sales (Shopify, website, wholesale) are your responsibility.
Is Etsy a marketplace facilitator in Alabama?: Yes — Etsy meets the marketplace facilitator definition in Alabama and collects Alabama sales tax on facilitated orders. Etsy sellers don't collect tax on those Etsy transactions, but direct (off-Etsy) sales remain the seller's responsibility.
Is eBay a marketplace facilitator in Alabama?: Yes — eBay is a marketplace facilitator in Alabama and collects, files, and remits Alabama sales tax on its facilitated transactions. The seller still tracks listings for income tax and resale-certificate purposes.
Is DoorDash a marketplace facilitator in Alabama?: Yes — DoorDash collects Alabama sales tax on delivery orders it facilitates and remits to the Alabama DOR. Restaurants and merchants typically receive remittance reports rather than collecting on those orders themselves.
Is Uber Eats a marketplace facilitator in Alabama?: Yes — Uber Eats acts as a marketplace facilitator in Alabama for the orders it processes, collecting and remitting the applicable Alabama sales tax on the food and delivery charges it bills.
Do marketplace sales count toward my Alabama nexus threshold?: In most states, marketplace-facilitated sales are EXCLUDED from the economic nexus threshold calculation. But Alabama may differ — verify before assuming.
Does Shopify qualify as a marketplace facilitator?: Standard Shopify (your own standalone store) does NOT qualify — you're the seller of record. Shopify Markets Pro, however, does qualify as a marketplace facilitator in many states.

Sources

date_retrieved: 2026-06-14