Recently, Colorado’s new $0.27 retail delivery fee went into effect. The fee targets all deliveries by a motor vehicle that have at least one item of taxable and tangible personal property. This new levy impacts both in-state and out-of-state retailers, requiring those entities to register with the Colorado Dept. of Revenue and remit funds to the State.
All states but one that impose a sales and use tax now have laws requiring out-of-state companies to collect tax if they have a significant economic presence in a state. The Governor of Missouri, the last remaining state, is expected to sign a similar law this month. The change stems from a 2018 United States Supreme Court case, the impact of which is far broader than many realize.
Continue Reading The Expanded Reach of States for Sales & Use Tax Purposes – More Than Just e-Commerce Retailers are Impacted
On June 21, 2018, the United States Supreme Court issued its decision in South Dakota v. Wayfair, Inc., overturning a 26 year-old decision holding that a retailer must have a physical presence in a state in order to have a sales or use tax collection obligation. The Wayfair decision has an immediate and major impact on retailers of all sizes, but also leaves open numerous unanswered questions.
Continue Reading Monumental Shift in Sales Tax Collection Requirements for Remote Retailers