How does New Jersey’s sales tax apply to e-commerce and SaaS transactions?

E-commerce and SaaS transactions are subject to New Jersey’s 6.625% tax rate, reflecting the state’s modernized approach to digital commerce. Online retailers must apply the tax to all taxable goods sold to New Jersey residents, while SaaS providers must tax software access and subscriptions.

Businesses should ensure compliance by using tax automation tools and monitoring economic nexus thresholds, such as $100,000 in sales or 200 transactions annually. These thresholds trigger the obligation to collect and remit sales tax, even for out-of-state sellers.