Kansas enacted legislation containing click-through and affiliate nexus provisions, expanding their definition of when a retailer is presumed to be doing business in Kansas, effective late 2013.
Click-Through Nexus Provision is Constitutional in New York
Amazon.com and Overstock.com failed to demonstrate that a provision that requires out-of-state Internet retailers with no physical presence in New York to collect New York sales and use taxes is unconstitutional on its face under the Commerce Clause or the Due Process Clause.
Out of State Retailer Maintained Business in Illinois
The Illinois Department of Revenue ruled that an out-of-state retailer was maintaining a place of business in Illinois and was required to collect and remit use tax from its Illinois customers. A retailer is considered to maintain a place of…
Utah Letter Ruling Discusses Gift Code Sales and Affiliate Nexus
Utah has issued a private letter ruling regardingthe taxability of gift codes, affiliate nexus and sales and use tax registration requirements. Out-of-state online retailers affiliated with an out-of-state company that sells gift codes to Utah consumers are not required to…
Federal Government Introduces New Remote Seller Bill
The federal Marketplace Fairness Act of 2013 was introduced in the House of Representatives and the Senate on February 14, 2013.
Independent Contractor Speakers Create Nexus in Washington
An out-of-state company has nexus with Washington and is subject to state business and occupation tax because independent contractor speakers who made presentations at live seminars in Washington for the company were representative third parties.
Alabama Adopts Nexus Rule including Remote Affiliate Provisions
Out-of-state remote sellers with substantial nexus making retail sales of tangible personal property in Alabama are required to register with Alabama for a sales tax license and collect and remit sales tax on all sales made within the state, effective August 24, 2012
Utah Updates Guidance on Business Activity and Nexus for Sales and Use Tax
The Utah State Tax Commission has updated guidance on business activity and nexus for sales and use tax purposes. The publication redefines “nexus” to mean that a business entity has established a direct or representational presence within a state or…
New Jersey and Amazon Reach Tax Collection Agreement
New Jersey Governor Chris Christie has announced that the state and Amazon.com have reached an agreement in which Amazon will voluntarily begin to collect and remit New Jersey sales tax on purchases by New Jersey consumers by July 1, 2013…
Amazon Enters Agreement to Collect Sales Tax in Texas
Amazon has entered into an agreement with the state of Texas to begin collecting and remitting Texas sales tax on July 1, 2012. Under the agreement, Amazon plans over the next four years to create at least 2,500 jobs and…
Georgia Enacts Click-Through and Affiliate Nexus Law
Georgia enacted click-through and affiliate nexus provisions, amending the definition of a “dealer” required to collect and remit Georgia sales tax, effective late 2012.
Nevada Reaches Collection Agreement with Amazon
Nevada Governor Brian Sandoval announced that the state has reached an agreement with Amazon to begin collecting Nevada sales tax on purchases and to work together to enact federal legislation that would create a simplified framework for sales tax collection.…
Texas Enacts Affiliate Nexus Bill
Effective January 1, 2012, the definition of a retailer considered to be engaged in business in Texas for use tax collection purposes is expanded.
Virginia Enacts Affiliate Nexus Law
Virginia has enacted legislation requiring certain remote sellers that utilize in-state facilities to collect and remit Virginia sales tax. Under the new law, a dealer is presumed to have nexus in Virginia if any commonly controlled person maintains a distribution…
Illinois Judge Rules Click-Through Law Unconstitutional
In the lawsuit filed by the Performance Marketing Association (PMA) claiming Illinois P.A. 96-1544 which was effective July 1, 2011 is unconstitutional…
Colorado Strikes Down Remote-Seller Reporting Requirements
The U.S. District Court, District of Colorado has issued a permanent injunction against the enforcement of a statute and regulations that impose notice and reporting requirements pertaining to use tax on out-of-state sellers, declaring them unconstitutional.
Tennessee Implements Amazon Agreement
Although the bill was geared towards an agreement with Amazon, the exclusion from tax collection responsibilities will apply to any other business that meets the requirements under the legislation.
Utah Enacts Affiliate Nexus Bill
The Utah governor signed into law an affiliate nexus bill that will require certain remote sellers to collect and remit Utah sales tax, effective July 1, 2012.
In-State Subsidiary Creates Nexus in Washington for Mail Order Retailer
An out-of-state mail order company was determined to have substantial nexus in Washington due to the activities of one of its in-state sister entities. The sister company sold gift cards to customers that could be used to place catalog orders…
Activities of Teachers Creates Tennessee Nexus for Bookseller
The activities of schools and teachers in Tennessee are sufficient to create sales and use tax nexus for a mail-order bookseller that sells books through marketing materials distributed in schools. Reversing the lower court’s awarding of summary judgment to dismiss…
Senate Introduces Marketplace Fairness Act
On November 9, 2011, a bi-partisan group of U.S. senators introduced legislation that would give states implementing simplification requirements the authority to require remote sellers to collect sales and use tax. The legislation, called the Marketplace Fairness Act, would not…
Congress Introduces Marketplace Equity Sales Tax Bill
A new online sales tax bill has been introduced in Congress. Contrary to the Main Street Fairness Act proposed this summer, participation in Streamlined Sales Tax is not required.
In-State Warehouse or Distribution Facility in Tennessee Creates Nexus
The Tennessee Attorney General has issued an opinion stating that a retailer that directly maintains or owns a warehouse or distribution facility in Tennessee has nexus in the state for Commerce Clause purposes. If a subsidiary of the retailer owns…
California Delays Implementation of Remote-Seller Nexus Law
Enactment of the click-through and affiliate nexus provisions is conditional on federal authorization for states to require sellers to collect taxes on sales of goods to in-state customers regardless of the seller’s location.