Kansas protects you from an audit over marketplace sales. It just never says whether you also need to register.

The Bottom Line for Kansas eBay Sellers

Kansas gives clear, direct answers on several fronts an eBay seller cares about, and on one that matters we could not find an answer in its guidance: whether a seller whose only Kansas sales run through a marketplace facilitator needs their own state registration. An LLC doesn't resolve that gap (nothing we found from the state does) but it does mean that whatever the answer turns out to be, the entity is what carries the exposure rather than you personally.

Kansas's marketplace-facilitator statute requires a facilitator to collect and remit tax on every sale it facilitates regardless of whether the underlying seller has registered, and the state's own guidance says it won't audit or assess tax against marketplace sellers for sales a facilitator has already handled. That much is unambiguous and reassuring. What the notices we reviewed never state, in either direction, is whether an individual marketplace seller with no other Kansas activity is still expected to hold their own registration as a formality. Two separate official notices covering this exact territory were reviewed and neither one closes that gap. That is a gap in the documents we could find, and a direct question to the Department of Revenue is the way to close it.

We could not confirm Kansas's position on whether a marketplace-only seller must register. We could not confirm whether Kansas counts marketplace-facilitated sales toward its remote-seller threshold. Kansas uses the federal reporting threshold, so eBay issues a 1099-K once you pass $20,000 and 200 transactions.

eBay Collects Kansas Sales Tax. What Is Still Yours?

We could not confirm Kansas's position on whether a marketplace-only seller must register.

What Kansas does say clearly is that the facilitator's collection duty doesn't depend on your registration status, and that the department has committed to not chasing marketplace sellers for tax on sales a compliant facilitator already collected. What we could not find Kansas saying is whether a seller in your exact position, no direct Kansas sales, no physical presence, everything routed through eBay, is expected to file paperwork of their own anyway. Given that gap, the more conservative approach for a Kansas-connected seller is to ask the Department of Revenue directly about your specific situation rather than assume either a strict or a lenient answer, since this page won't manufacture a certainty we could not find in the state's own sources.

Do Your eBay Sales Count Toward Kansas's Nexus Test?

We could not confirm whether Kansas counts marketplace-facilitated sales toward its remote-seller threshold.

Kansas confirms its own dollar threshold for remote sellers without a companion transaction-count test, and confirms separately that a marketplace facilitator has its own, distinct threshold based on its combined direct-plus-facilitated Kansas receipts. What the Kansas guidance we reviewed doesn't resolve is whether a seller who also makes direct, non-marketplace Kansas sales has to fold marketplace-facilitated receipts into that seller's own threshold calculation for those direct sales. Two controlling Kansas notices addressing marketplace facilitators and remote sellers were each read in full for this page, and neither states the answer either way. A seller in that mixed situation should track both types of sales carefully and get a direct answer from the department rather than assume either inclusion or exclusion.

Kansas's 1099-K Threshold

Kansas uses the federal reporting threshold, so eBay issues a 1099-K once you pass $20,000 and 200 transactions.

Kansas ties its 1099 filing framework to IRS rules by statute, with the Department of Revenue's own specification stating plainly that Kansas follows federal guidelines for information returns, so there's no separate, lower Kansas figure pushing a 1099-K to arrive earlier than the federal threshold would otherwise produce. When it does arrive, treat the number as gross payment volume rather than a tax bill: subtract fees, refunds, and cost of goods before drawing any conclusion about what you actually owe, a reconciliation that's considerably cleaner inside a business's own books.

Buying Inventory to Resell in Kansas

Kansas accepts a resale certificate issued by another state, so you can buy inventory for resale without registering here first.

Kansas's own Resale Exemption Certificate (ST-28A) instructions state directly: 'Wholesalers and buyers from other states not registered in Kansas should use the Multi-Jurisdiction Exemption Certificate, Form ST-28M, to purchase their inventory... If the out-of-state retailer DOES NOT have sales tax nexus with Kansas, it may provide the third party vendor a resale exemption certificate evidencing qualification for a resale exemption, regardless of the state in which the retailer is registered for sales tax.' Kansas registration is only required if the seller has Kansas nexus.

Kansas's resale exemption certificate is broadly worded for out-of-state buyers: its own instructions state that an out-of-state retailer with no Kansas nexus may provide a resale exemption certificate regardless of which state issued their registration, directing Kansas-unregistered buyers toward a multi-jurisdiction certificate as an alternative. A Kansas supplier extending wholesale pricing should accept documentation from your home state without insisting on a Kansas number you don't have a reason to hold. On used-goods resale, Kansas's one statewide licensing statute reaches only pawnbrokers and precious-metal dealers specifically. It doesn't extend to general resale of ordinary used merchandise, and a search for broader municipal secondhand-dealer ordinances in Kansas's largest cities turned up nothing comparable to what exists in some other states, suggesting an ordinary reseller of non-precious-metal goods faces no licensing hurdle here at either level.

Kansas has no statewide second-hand dealer licence reaching general resale. Kansas's statewide licensing statute in this area, the law titled 'Regulation of Pawnbrokers', covers only pawnbrokers and precious metal dealers: 'No person shall engage or continue in business as a pawnbroker or precious metal dealer without first obtaining a license therefor.' It does not reach general resale of ordinary used goods (clothing, books, furniture, general merchandise), and even for pawnbrokers and precious-metal dealers the license itself is issued locally (by the city clerk if inside city limits, or the county clerk if outside) rather than by a state agency. A search for general 'secondhand dealer' ordinances in Kansas's largest cities (Wichita, Topeka, Overland Park) returned no results, suggesting Kansas does not have a widespread pattern of separate general-secondhand-dealer municipal licensing either. An ordinary online reseller of non-precious-metal used goods appears to face no licensing requirement in Kansas at either level.

Setting Up to Sell on eBay from Kansas

1. 1

   Separate your marketplace sales from any direct Kansas sales

   Kansas's open question about combining the two for threshold purposes means clean, separate records now save you from reconstructing history later if the department clarifies its position.

2. 2

   Form the LLC regardless of how the registration question resolves

   Whatever Kansas ultimately expects of a marketplace-only seller, the entity is what determines whether that exposure lands on you personally or on the business.

3. 3

   Call the Kansas Department of Revenue about your specific registration status

   We could not find Kansas guidance that answers whether a marketplace-only seller must register. A direct call gets you an answer specific to your situation rather than a guess from this page.

4. 4

   Use Kansas's broad out-of-state resale language when buying wholesale

   Kansas accepts a resale certificate from an out-of-state, Kansas-unregistered buyer without requiring a Kansas number. Don't let a supplier's confusion about this cost you the exemption.

5. 5

   Don't assume a secondhand-dealer license applies to general resale

   Kansas's only statewide licensing statute in this space covers pawnbrokers and precious-metal dealers specifically. Confirm with your city if you're unsure, but don't assume it reaches ordinary used-goods resale.

What We Could Not Confirm for Kansas

These pages only state what a primary source establishes. For Kansas we could not confirm the following, so this page does not answer it:

• whether a marketplace-only seller must register
• whether marketplace sales count toward the economic-nexus threshold

Who to Ask in Kansas

The Kansas Department of Revenue is the office to contact directly for the registration question this page couldn't resolve, its published notices on marketplace facilitators and remote sellers are thorough on everything except that specific point, so a direct inquiry is the right next step rather than guessing from general principles. The Kansas Secretary of State's office handles LLC formation and annual report filings, independently of the Department of Revenue. Neither office shares its records with the other automatically, so treat each filing as its own task.

Sources

• ksrevenue.gov/taxnotices/notice21-17.pdf
• ksrevenue.gov/taxnotices/notice21-14.pdf
• ksrevenue.gov/taxmarketplace.html
• ksrevenue.gov/pdf/K-99MT.pdf
• ksrevenue.gov/pdf/st28a.pdf
• ksrevisor.gov/statutes/chapters/ch16/016_007_0007.htmlKansas statute: K.S.A. 16-707(a) (pawnbroker and precious metal dealer license)
• ksrevenue.gov/business.html
• irs.gov/instructions/i1099k
• Kansas statute: K.S.A. 16-701 et seq. (Regulation of Pawnbrokers)

Federal 1099-K threshold: IRC § 6050W(e), as amended by § 70432(a) of the One, Big, Beautiful Bill Act (P.L. 119-21, July 4, 2025). A third-party settlement organization such as eBay must file Form 1099-K only if BOTH tests are met for the calendar year: gross payments exceed $20,000 AND the number of transactions exceeds 200. These are the figures for tax year 2026. There is no forward phase-in: § 70432(a) takes effect "as if included in section 9674 of the American Rescue Plan Act," so the same $20,000 / 200 figures apply retroactively to calendar years after 2021 (tax years 2022 through 2026 alike). The $600 threshold enacted by ARPA § 9674 (P.L. 117-2) was repealed before it operated, and the IRS transition-relief thresholds previously announced for 2024 and 2025 are superseded. A platform may issue a 1099-K below these figures, and a state may set a lower TPSO threshold, in which case a seller can receive a 1099-K without meeting the federal test.. Verified 2026-08-08.