On June 21, 2018, The Supreme Court ruled in favor of South Dakota, granting the state authority to impose sales tax obligations on out-of-state transactions without requiring physical presence in the state. Since the ruling, several states have responded by implementing legislation to adopt economic nexus provisions thereby requiring remote sellers to collect sales tax without having a physical presence in the state.

To help you navigate the ever-changing nexus landscape for sales tax, please use the Sales Tax Economic Nexus for Remote Sellers chart below to help you identify which states have adopted economic nexus provisions. We also have an Economic Nexus Evaluator Tool to make an initial analysis of your economic nexus footprint. Please fill out this form to have it emailed to you.

Economic Nexus Enforcement Dates at a Glance
2017 Jan 1, 2018 April 1, 2018 July 1, 2018 Sept 1, 2018 Oct 1, 2018 Nov 1, 2018 Dec 1, 2018 Jan 1, 2019
July 1– Tennessee (stayed)

Aug 1
Rhode Island

Oct 1– Massachusetts

Ohio Pennsylvania Hawaii, Maine, Vermont Mississippi Alabama, Illinois, Indiana, Kentucky, Maryland, Michigan, Minnesota, Nevada, North Dakota, Washington, Wisconsin New Jersey, North Carolina, South Carolina, South Dakota Colorado, Connecticut Georgia, Iowa, Louisiana,
Nebraska, Utah,
West Virginia

 

Sales Tax Economic Nexus for Remote Sellers (as of October 4, 2018)*
State Economic Nexus Sales Threshold Transaction Threshold Does one or both thresholds need to be met? Nexus Time Frame Effective Date State Guidance
Alabama Yes $250,000 in retail sales N/A N/A Previous calendar year 10/1/2018 Ala. Admin. Code §  810-6-2-.90.03 
Alaska N/A
Arizona No
Arkansas No
California No
Colorado Yes $100,000 in sales 200 transactions One Current calendar year  12/1/2018 News Release Colorado to require online retailers to collect sales tax (September 11, 2018)
Connecticut Yes $250,000 in gross receipts 200 retail sales Both 12-month period ending on the September 30th immediately preceding the monthly or quarterly period for which liability for tax is determined. 12/1/2018 Conn. Gen. Stat. § 12-407(a)(12) and (15)
Delaware N/A
District of Columbia No
Florida No
Georgia Yes $250,000 in retail sales 200 separate retail sales One Previous or current calendar year 1/1/2019 Georgia Dept. of Rev., Policy Bulletin SUT-2018-07 (Oct. 1, 2018)
Hawaii Yes $100,000 in gross income 200 separate transactions One Current or preceding calendar year 7/1/2018 Hawaii Dept. of Taxation Announcements No. 2018-10 (06/27/2018)
Idaho No
Illinois Yes $100,000 in gross receipts 200 separate transactions One Current or preceding calendar year 10/1/2018 ILCS Chapter 35 § 105/2
Indiana Yes $100,000 in retail sales 200 separate transactions One Current or preceding calendar year 10/1/2018 Ind. Code § 6-2.5-2-1(c) 
Iowa Yes $100,000 in retail sales 200 separate retail sales One Current or preceding calendar year 1/1/2019 Iowa Code § 423.14A as enacted by S. F. 2417 (2018)
Kansas No
Kentucky Yes $100,000 in retail sales 200 separate  retail sales One Current or preceding calendar year 10/1/2018 Ky. Rev. Stat. Ann. § 139.340(2)(g) 
Louisiana Yes $100,000 in gross revenue 200 separate transactions One Current or preceding calendar year 1/1/2019 La. Rev. Stat Ann § 47:301(4)(m)(i), as added by 2018 La. H.B. 17
Maine Yes $100,000 in gross revenue 200 separate transactions One Current or preceding calendar year 7/1/2018 Me. Rev. Stat. Ann. 36 § 1951-B(3) 
Maryland Yes $100,000 in gross revenue 200 separate transactions One 10/1/2018 COMAR 03.06.01.33 Out-of-State Vendor, Md. Cmptrlr
Massachusetts Yes $500,000 in sales 100 transactions Both Previous calendar year 10/1/2017 Mass. Regs. Code tit. 830, §64H.1.7
Michigan Yes $100,000 in sales 200 separate transactions One Previous calendar year 10/1/2018 Michigan Revenue Administrative Bulletin 2018-16
Minnesota** Yes $100,000 in retail sales at least 10 transactions 100 retail sales One Previous 12 months 10/1/2018 Minn. Stat. §297A.66
Mississippi Yes $250,000 in sales N/A N/A Previous 12 months 9/1/2018 Miss. Administrative Code § 35.IV.3.09(100) 
Missouri No
Montana N/A
Nebraska Yes $100,000 in sales 200 separate transactions One Annually 1/1/2019 Statement from the Nebraska Department of Revenue Regarding the South Dakota v. Wayfair United States Supreme Court Decision (July 27, 2018)
Nevada Yes $100,000 in retail sales 200 retail sales One Immediately preceding calendar year or the current calendar year  10/1/2018 Nevada Dept. of Taxn., Statement from
Taxation Director Bill Anderson
Concerning Approval of New Out-of-State
Seller Sales Tax Requirements (Sept. 27,
2018)
New Hampshire N/A
New Jersey Yes $100,000 in gross revenue 200 separate transactions  One Current or prior calendar year  11/1/2018 Notice, New Jersey Division of Taxation, August 14, 2015
New Mexico No
New York Yes $300,000 in gross receipts 100 sales Both Immediately preceding four quarter periods ending on the last day of February, May, August, and November Currently unenforced N.Y. Tax Law §1101(b)(8)
North Carolina Yes $100,000 in gross sales 200 separate transactions One Previous or current calendar year 11/1/2018 North Carolina Sales and Use Tax Directive SD-18-6; N.C. Gen. Stat. §105-164
North Dakota Yes $100,000 in gross sales 20200 separate transactions One Previous calendar year 10/1/2018 N.D. Cent. Code § 57-39.2-02.2
Ohio*** Yes $500,000 in gross receipts N/A N/A Current or preceding calendar year 1/1/2018 Ohio Information Release ST 2001-01
Oklahoma Yes $10,000 in retail sales N/A One Preceding 12 calendar year 7/1/2018 or notification and reporting requirements Okla. Stat. Ann. Tit. 68, § 1392, as added by HB 1019, Laws of 2018
Oregon N/A
Pennsylvania Yes $10,000 in retail sales N/A One Preceding 12 calendar year 4/1/2018 or notification and reporting requirements Pa. Dept. of Rev., Remote Sellers
Rhode Island Yes $100,000 in gross revenue 200 separate transactions One Preceding 12 calendar year 8/17/2017 or notification and reporting requirements R.I. Gen Laws § 44-18.2-3
South Carolina Yes $100,000 in gross revenue N/A N/A Previous or current calendar year 11/1/2018 SC Revenue Ruling #18-4
South Dakota Yes $100,000 in gross revenue 200 separate transactions One  Previous of current calendar year 11/1/2018- except for defendants in the South Dakota v. Wayfair case S.D. Codified Laws Ann. §10-64-2
Tennessee Yes $500,000 in sales N/A N/A Previous 12 months 7/1/2017 –  litigation pending – enforcement stayed Tenn. Comp. R. & Regs. § 1320-05-01-.129(2)
Texas No
Utah Yes $100,000 in gross revenue 200 separate transactions One 1/1/2019 2018 Utah S.B. 2001
Vermont Yes $100,000 in sales 200 individual transactions One Any 12-month period preceding the monthly tax period for determining sales and use tax liability. 7/1/2018 Vt. Stat. Ann. 32 § 9701(9)(F) and (G)
Virginia No
Washington**** Yes $100,000 in gross retail sales***** 200 retail transactions One Current or prior year 10/1/2018 unless meets notification requirements threshold 10/1/2018 or comply with current notification requirements if $10,000 in sales*****
West Virginia Yes $100,000 in gross sales 200 separate transactions  One During calendar year 2018 1/1/2019 West Virginia Administrative Notice 2018-18 (October 1, 2018)
Wisconsin Yes $100,000 in sales 200 separate transactions One Annually 10/1/2018 Remote Sellers – Wayfair Decision (Juy 5, 2018)
Wyoming Yes $100,000 in gross revenue 200 separate transactions One Current or preceding calendar year TBD Wyo. Stat. § 39-15-501

*Does not include any proposed legislation or information regarding notice requirements for marketplace facilitators.
**Makes 10 or more retail sales totaling more than $100,000 or 100 or more retail sales and systematic solicitation of sales in the state. Remote sellers are not required to collect sales tax in Minnesota when a Marketplace Provider is collecting and remitting.
***Under Ohio law, an out-of-state vendor that uses Ohio software to make sales or that has relationships with content distribution networks in Ohio and has gross receipts of at least $500,000 from sales of tangible personal property to Ohio customers is deemed to have nexus.
**** Beginning July 1, 2017, businesses with more than $267,000 of yearly gross receipts sourced to Washington in 2017 ($285,000 in 2018) or at least 25 percent of total yearly gross receipts sourced to Washington has nexus for retailing Business and Occupation (B&O) tax.
*****Beginning January 1, 2018, remote sellers and marketplace facilitators making $10,000 or more in retail sales to Washington purchasers must either 1) register their business, and collect and submit sales/use tax on sales to Washington purchasers; or 2)  follow the use tax notice and reporting requirements. Once a business exceeds the $100,000 in retail sales, or 200 transactions as of October 1, 2018, the business no longer has a choice and must register and collect retail sales/use tax.