Stay up to date with sales tax: Join our mailing list!

Remote Seller Nexus Chart


This chart lists the states that have passed one or more of the following types of legislation, along with the effective date for that type of legislation: Click-Through Nexus, Affiliate Nexus, Economic Nexus, Marketplace Nexus, and Use Tax Notice and Reporting Requirements. Click on the effective dates for the states below for more details on the enacted legislation. Click on the state name to see all of the news items we've published on nexus for that state. See below for quick overviews of each type of legislation. 

 

Click-Through Nexus: If a retailer or service provider contracts with an individual or company located in-state who directly or indirectly refers potential customers to the retailer through a web link for a commission/other consideration upon sale, the retailer is considered to maintain a place of business in that state. Thresholds apply and vary by state. Pay-per-click, banner and other advertising do not qualify if payment is not contingent upon a sale. 

 

Affiliate Nexus: If an affiliated person of the retailer with a physical presence, or employees or agents in state, has sufficient nexus in state to require the retailer to collect and remit sales and use taxes on taxable retail sales of tangible personal property or services. Some states have expanded these provisions to include activities by unrelated parties performed on the seller's behalf. 

 

Economic Nexus: Generally correlates with a set level of sales or gross receipts activity within the state. No physical presence is required. 

 

Marketplace Nexus: If an online marketplace operates its business in a state and provides e-commerce infrastructure as well as customer service, payment processing services and marketing, the marketplace facilitator is required to register and collect tax as the retailer rather than the individual sellers. This could also impose reporting requirements on the marketplace facilitator.

 

Reporting Requirements: Retailer must notify buyers that they must pay and report state use tax on their purchases. Retailer may be required to send purchasers an annual statement of all of their purchases from the retailer.

 

The Multistate Tax Commission (MTC) has negotiated a special deal for online sellers that may have sales and income tax obligations from previous unpaid taxes in 24 different states. The MTC has put together a special amnesty initiative program for online sellers that will run from August 17, 2017 to October 17, 2017. For more information on the program, click here.

 

State Click-Through Nexus Affiliate Nexus Reporting Requirements Economic Nexus Marketplace Nexus
Alabama

 

8/24/2012

7/1/2017

1/1/2016

 
Arizona         Ruling issued 9/20/2016
Arkansas

10/27/2011

10/27/2011

     
California

9/15/2012

9/15/2012

     
Colorado

7/1/2014

7/1/2014

7/1/2017

   
Connecticut

5/4/2011

       
Georgia

7/18/2012

10/1/2012

     
Illinois

1/1/2015

7/1/2011

 

   
Indiana       7/1/2017 - Challenged  
Iowa  

6/11/2013

     
Kansas

10/1/2013

7/1/2013

     
Kentucky

 

 

7/1/2013

   
Louisiana

4/1/2016

4/1/2016

7/1/2017

   
Maine

10/9/2013

10/9/2013

  10/1/17  
Massachusetts       Pending 10/1/17  
Michigan

10/1/2015

10/1/2015

     
Minnesota

7/1/2013

Delayed

    Delayed
Missouri

8/28/2013

8/28/2013

     
Nevada

10/1/2015

7/1/2015

     
New Jersey

7/1/2014

 

     
New York

5/8/2008

6/1/2009

     
North Carolina

8/7/2009

       
North Dakota       Delayed  
Ohio

7/1/2015

7/1/2015

  1/1/2018  
Oklahoma  

6/9/2010 and 11/1/2016

6/9/2010 and 11/1/2016

   
Pennsylvania

12/1/2011

12/1/2011      
Rhode Island

7/1/2009 and 8/17/2017

8/17/2017 8/17/2017 8/17/2017 8/17/2017
South Dakota  

7/1/2011

7/1/2011

5/1/2016 - Ruled unconstitutional 3/6/2017

 
Tennessee

7/1/2015

1/1/2014

3/26/2012

Delayed  
Texas  

1/1/2012

     
Utah  

7/1/2012

     
Vermont

12/1/2015

 

5/24/2011 and July 1, 2017

Effective date pending SD legislation

 
Virginia  

9/1/2013

     
Washington

9/1/2015

 

1/1/2018

B&O Tax only 9/1/2015 and expanded 7/1/2017

1/1/2018
West Virginia   1/1/2014      
Wyoming  

 

  7/1/2017 - Challenged  
 
 

 

Return to Resources Page

Scroll to Top