Improving the effectiveness and adequacy of state tax laws by clarifying and simplifying nexus provisions, by decreasing compliance and administrative burdens for taxpayers and the department of revenue, by facilitating the collection of new tax revenue resulting from the United States supreme court's decision in South Dakota v. Wayfair, Inc., by providing more consistent tax obligations for both domestic and foreign sellers, and by simplifying the expiration of sales tax sourcing mitigation payments to local governments on September 30, 2019.
Summary
Modifies the nexus threshold for marketplace facilitators and remote sellers to align state law with a recent United States Supreme Court decision.
Eliminates the option for marketplace facilitators and remote sellers to elect to not collect tax and instead comply with notice and reporting requirements.
Limits the import tax exemption to import sales involving a parent company and a wholly-owned subsidiary.
Clarifies certain provisions under the Streamlined Sales and Use Tax Agreement and repeals sections related to local jurisdiction mitigation payments.
From the Substitute Senate Bill Report (SSB 5581), written by the Legislature's nonpartisan staff. Read the full report ↗
AN ACT Relating to improving the effectiveness and adequacy of state tax laws by clarifying and simplifying nexus provisions, by decreasing compliance and administrative burdens for taxpayers and the department of revenue, by facilitating the collection of new tax revenue resulting from the United States supreme court's decision in South Dakota v. Wayfair, Inc., by providing more consistent tax obligations for both domestic and foreign sellers, and by simplifying the expiration of sales tax sourcing mitigation payments to local governments on September 30, 2019;