The US Supreme Court decision that overturned Quill in the South Dakota v Wayfair case has many states making or considering law changes related to sales tax compliance for out-of-state sellers.
The following is a listing of effective dates, gross receipt amounts, number of transactions and notes, generated as of July 1, 2021. This listing outlines how certain states are reacting to adjust their current rules. The Wayfair decision is an extremely important event, as it opens-up the door for states to collect sales tax from out-of-state sellers where no in-state physical presence is maintained by the seller.
Out-of-state sellers need to consult with their accountant to determine the best way to handle compliance with the new thresholds and rules being created.
We will continue to monitor the changes that states are making after the Wayfair decision, and will periodically update information related to those changes. Check back regularly for recent developments.
Contact your Eide Bailly professional or a member of our state and local tax team for more information.
| Alabama | $250,000 | 10/1/2018 | Alabama's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. | |
| Alaska | While the state does not impose a sales or use tax, several municipalities do. | |||
| Arizona | $100,000 | 10/1/2019 | Arizona has a scaled revenue threshold during a three year period. In 2019, the revenue threshold was $200,000. In 2020, the revenue threshold is $150,000. In 2021, the revenue threshold will lower to $100,000. Taxpayers will be considered to have nexus if the taxpayer has surpassed the revenue threshold in that year and going forward. | |
| Arkansas | $100,000 | 200 | 7/1/2019 | Arkansas's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| California | $500,000 | 4/1/2019 | ||
| Colorado | $100,000 | 6/1/2019 | ||
| Connecticut | $100,000 | 200 | 12/1/2018 | Connecticut's economic nexus standard is met when both the revenue threshold and the transactional thresholds are met. |
| Delaware | Delaware does not impose a sales or use tax. | |||
| District of Columbia | $100,000 | 200 | 4/1/2019 | The District of Columbia's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Florida | $100,000 | 7/1/2021 | ||
| Georgia | $100,000 | 200 | 1/1/2019 | Previously $250,000 effective 1/1/2019 through 12/31/2019. Georgia's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Hawaii | $100,000 | 200 | 7/1/2018 | Hawaii's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Idaho | $100,000 | 6/1/2019 | ||
| Illinois | $100,000 | 200 | 10/1/2018 | Illinois's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Indiana | $100,000 | 200 | 10/1/2018 | Indiana's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Iowa | $100,000 | 1/1/2019 | ||
| Kansas | $100,000 | - | 10/1/2019 | |
| Kentucky | $100,000 | 200 | 10/1/2018 | Kentucky's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Louisiana | $100,000 | 200 | 7/1/2020 | Louisiana's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Maine | $100,000 | 7/1/2018 | Maine's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. | |
| Maryland | $100,000 | 200 | 10/1/2018 | Maryland's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Massachusetts | $100,000 | 10/1/2017 | Prior to 10/1/2019, the economic threshold was $500,000 and 100 or more separate transactions. On and after 10/1/2019, the economic threshold decreased to $100,000 and dropped its transactional threshold. | |
| Michigan | $100,000 | 200 | 10/1/2018 | Michigan's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Minnesota | $100,000 | 200 | 10/1/2018 | Minnesota's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Mississippi | $250,000 | 9/1/2018 | ||
| Missouri | $100,000 | 1/1/2023 | ||
| Montana | Montana does not impose a sales or use tax. | |||
| Nebraska | $100,000 | 200 | 1/1/2019 | Nebraska's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Nevada | $100,000 | 200 | 10/1/2018 | Nevada's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| New Hampshire | New Hampshire does not impose a sales or use tax. | |||
| New Jersey | $100,000 | 200 | 11/1/2018 | New Jersey's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| New Mexico | $100,000 | 7/1/2019 | ||
| New York | $500,000 | 100 | 6/21/2018 | New York's economic nexus standard is met when both the revenue threshold and the transactional thresholds are met. |
| North Carolina | $100,000 | 200 | 11/1/2018 | North Carolina's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| North Dakota | $100,000 | 10/1/2018 | ||
| Ohio | $100,000 | 200 | 1/1/2018 | Ohio's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. Prior to 8/1/2019, the economic threshold was $500,000. However, it decreased to $100,000 on and after 8/1/2019. |
| Oklahoma | $100,000 | 6/1/2018 | ||
| Oregon | Oregon does not impose a sales or use tax. | |||
| Pennsylvania | $100,000 | 7/1/2018 | ||
| Rhode Island | $100,000 | 200 | 7/1/2019 | Rhode Island's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| South Carolina | $100,000 | 11/1/2018 | ||
| South Dakota | $100,000 | 200 | 11/1/2018 | South Dakota's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Tennessee | $100,000 | 10/1/2020 | Previously $500,000 effective 10/1/2019 through 9/30/2020. | |
| Texas | $500,000 | 10/1/2019 | ||
| Utah | $100,000 | 200 | 1/1/2019 | Utah's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Vermont | $100,000 | 200 | 7/1/2018 | Vermont's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Virginia | $100,000 | 200 | 7/1/2019 | Virginia's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Washington | $100,000 | 1/1/2018 | ||
| West Virginia | $100,000 | 200 | 1/1/2019 | West Virginia's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |
| Wisconsin | $100,000 | 10/1/2018 | ||
| Wyoming | $100,000 | 200 | 2/1/2019 | Wyoming's economic nexus standard is met when either the revenue threshold or the transactional thresholds are met. |