©2018 by The Sales Tax Team.

 
  • Mason Jordan

July '19 Economic Nexus Introductions

Updated: Aug 12, 2019

On July 1, 2019, Arkansas, New Mexico, Rhode Island (revision to existing rules), and Virginia will be enacting and immediately imposing economic new nexus standards. At a high-level, here is an explanation of each state's economic nexus thresholds.

Arkansas - Companies with aggregate calendar year sales of at least $100,000 OR 200 individual transactions in Arkansas have established economic nexus. These companies must register to collect and remit sales tax.

New Mexico - Companies with taxable sales of at least $100,000 (aside from sales on a marketplace where the marketplace operator collects and remits) regardless of the number of transactions in New Mexico during the previous calendar year have established economic nexus. These companies must register to collect and remit sales tax.

Rhode Island - Companies with taxable sales of at least $100,000 OR 200 individual transactions in Rhode Island have established economic nexus. These companies must register to collect and remit sales tax. (Note: Dating back to August 2017 non-collecting remote sellers had the alternative option of complying with notice and reporting regulations - Effective 7/1/19 registration is mandatory).

Virginia - Companies with retail sales of at least $100,000 OR 200 individual transactions in Virginia have established economic nexus. These companies must register to collect and remit sales tax.