Key figures
New Jersey receivables
2026, with sources
Economic nexus still counts transactions
A remote seller registers, collects and remits New Jersey sales tax once its deliveries into New Jersey exceed $100,000 of gross revenue or reach 200 separate transactions in the current or prior calendar year. The count includes nontaxable sales, so a company selling mostly exempt SaaS can still cross the line and have to register.
The rate is 6.625% statewide, with no local add-on rates to track. Registration goes through the Division of Revenue’s Form NJ-REG.
An example: a SaaS company sells a $300-a-year plan to 250 small New Jersey businesses, billed annually. Its New Jersey revenue is $75,000, under the dollar test, but 250 invoices is over the 200-transaction test, so it registers and files quarterly ST-50 returns, most of them showing little or no tax because remotely accessed SaaS is generally not taxable.
What’s taxable for a software company
Under TB-72, remotely accessed SaaS is generally not taxable because nothing is delivered to the customer. SaaS that is an information service is. Prewritten software delivered electronically is taxable, but exempt when the buyer uses it directly and exclusively in its business, which covers most B2B downloads. Specified digital products are taxable.
The distinction shows up in the billing system: a company that sells both hosted access and a downloadable desktop app prices them as separate line items, so the download can be taxed (or exempted with the customer’s business-use documentation) without pulling the hosted subscription into the tax base.
Filing
Every registered seller files a quarterly Form ST-50, due the 20th of the month after the quarter, even with no tax due. A seller that collected more than $30,000 in the prior calendar year also remits monthly on Form ST-51 for the first two months of each quarter when the month’s tax exceeds $500.
Customer balances that go unclaimed, such as credits and overpayments, are reported to New Jersey’s Unclaimed Property Administration when the customer’s last known address is in New Jersey. The report covers July 1 to June 30 and is due before November 1; for items of $50 or more, the company must first send the customer a due diligence letter 60 to 120 days before filing.
The federal baseline
This page covers what New Jersey adds. The federal rules underneath it apply here too.
Common questions
Is SaaS taxable in New Jersey?
Generally no. The Division of Taxation treats remotely accessed software as a service as access to software, not a sale of software, so most SaaS charges aren’t subject to sales tax. The exception is SaaS that is an information service, such as a research database. Prewritten software delivered electronically is taxable unless the business-use exemption applies.
When does a remote seller have to register in New Jersey?
At $100,000 of gross revenue from deliveries into New Jersey, or 200 separate transactions, in the current or prior calendar year. Both tests count nontaxable sales, so a SaaS company can cross the threshold while collecting little or no tax.
Receivables next door
- DEDelaware receivablesDelaware has no sales tax, so there is nothing to collect from Delaware customers. A company operating in Delaware instead pays a gross receipts tax on its own receipts, 0.3983% for services after a $100,000 monthly exclusion.
- NYNew York receivablesNew York taxes SaaS as prewritten software, at 4% plus local rates (8⅞% in NYC). Remote sellers register after $500,000 and 100 sales; a New York employee makes you a vendor at once.
- PAPennsylvania receivablesPennsylvania taxes SaaS at 6%, with 7% in Allegheny County and 8% in Philadelphia, and requires remote sellers to register once sales pass $100,000.
Founder guides on this
- Sales taxSales tax nexus for startups: when you owe tax in a stateSince Wayfair, selling into a state can create a sales tax obligation. How economic nexus works, why SaaS is taxable in some states and when to register.
- StripeHow to reconcile Stripe payouts to your booksA Stripe payout is charges less fees, refunds and disputes, batched across days. How to book it gross, tie it to the bank, and keep revenue right.
- RevenueDeferred revenue for SaaS startups, explainedAn annual prepayment is cash today and revenue over a year. How deferred revenue works under ASC 606, why it’s a liability, and the schedule behind it.
More of the New Jersey guide
- AccountingAccounting and state tax in New JerseyCorporate tax, conformity to federal rules, apportionment and what it does to your books
- PayablesPayables and contractors in New JerseyPaying vendors and contractors: 1099 filing, use tax, contractor tests and withholding
- PayrollPayroll taxes and employer rules in New JerseyWithholding, unemployment insurance, paid leave, minimum wage and the rules on paydays
- ComplianceCompliance and filings in New JerseyRegistering to do business, annual reports, franchise tax and the filing calendar
- AdvisoryAdvisory: credits and decisions in New JerseyCredits, incentives and the decisions that are cheaper to get right the first time
Sources
Checked against each agency’s own page on . Rates and thresholds change, usually on January 1.
General information for US companies, not tax, legal or accounting advice for yours. Rules and thresholds change; confirm the specifics with a CPA or the agency before you act on them.