Connecticut To Pursue Remote Sellers That Don’t Collect Sales Tax

The Connecticut Department of Revenue Services (DRS) has announced that the state is stepping up its effort to collect sales taxes not paid by online and other out-of-state retailers with significant sales into Connecticut. Connecticut law requires out-of-state retailers that have a substantial economic presence in the state to collect and remit sales tax. If out-of-state retailers fail to do so, the DRS is authorized to require disclosure of untaxed sales and pursue collection. The press release states that “We are not going to chase out-of-state retailers that make a modest amount of sales into Connecticut. We are going to close this tax loophole for big retailers doing big business in Connecticut and not competing fairly.”(Media Release, Connecticut Department of Revenue Services, March 28, 2017)

Posted on April 3, 2017