Nicole,   Thanks for detailing and clarifying Paul's comment.  Quite insightful posts!

Paul - Thanks for bringing that up. This rule is based on a 1992 Supreme Court ruling (Quill v. North Dakota, 504 U.S. 298, (1992)) in which the justices ruled that states cannot require mail-order businesses, and by extension, online retailers to collect sales tax unless they have a physical presence in the state. However, you are correct in pointing out that recently some states are adopting measures to collect sales tax. Read more about States Making Inroads at Taxing Online Sales. I've amended my post to clarify that point. Any one is not sure whether they are required to collect sales tax should contact that state's revenue department for the most up-to-date details.

Hi Joshua, Will your business have a physical presence in these states (like a store) or do you plan to sell online? If your business has a physical presence in a state, you must collect applicable state and local sales tax from your customers (assuming that the state collects sales tax - not all do). If you do not have a physical presence in a state, you may not be required to collect sales taxes from customers in that state. Contact your state's revenue agency for details.

     I disagree with you in regarding the ' if you do not have a physical presence in a state ' you do not have to collect, there is a rapidly emerging area of new tax law on the state level, that is now saying many states are at least trying to collect sales taxes from businesses that do not have a physical presence in the state but do sales (internet) services or products in the particular state.     I would advise the posted that this is a NEW and emerging area of constantly changing area of tax law on the state level.     Stay tuned    

If you are selling items at trade shows or other special events in states other than where your business is located, you would obtain a temporary sales tax permit from the state department of revenue and pay tax on the items you sell during the show or event.

so the only factor that matters is where you're registered not where you sell?