State-by-state guide to electronic sales tax filing and payment

State-by-state guide to electronic sales tax filing and payment

Technology allows us to do just about everything online these days. That’s true for sales taxes too. Gone are the days when you were required to fill out your paper tax return and mail it in with your paper check — although you can still do that in many states if you wish.

Every state now offers online or telephone options for filing and payment. However, these vary widely. For instance, all businesses are required to file sales taxes either online or by phone in states including Alabama, Connecticut, Indiana, Iowa, Kansas, Minnesota, New Jersey, Ohio, Pennsylvania, Tennessee and Wisconsin.

Other states only require electronic filing and/or payment for businesses that pay more than a certain amount in sales tax. In Illinois, for example, the threshold requiring payments to be made electronically is $20,000 a year, while in Georgia, you are required to pay electronically if you owe more than $500 on any return.

Electronic payment can include credit card payments, although not every state allows it. Check out our blog for more details on which states allow credit card payments and the fees they charge for the privilege. 

Streamlining electronic filing for small businesses

If you are a small business filing sales taxes in several different states, it can be tricky to keep track of all the different filing requirements, and even online filing may not be that convenient when you have to log-in to each state’s website to file each return separately.

Automation, such as Avalara’s TrustFile, can help streamline the sales tax filing process for you. With TrustFile, you can import transaction data from your e-commerce or accounting platform and prepare all your sales tax returns at once in minutes, whether you are filing in one state or several. You can simply print out your return and file it manually or use TrustFile to electronically file it for you. A free 30-day trial allows you to test the benefits of automation with no risk. Learn more here.

State-by-state guide

Here’s a breakdown of the electronic sales tax filing and payment options for each state.

Alaska currently does not have sales tax. However, some local jurisdictions impose and administer their own sales taxes.
  • Website: Colorado Department of Revenue
  • Electronic filing: Revenue Online. If you have more than one business location, you must file a separate return online for each location.
  • Electronic payment: Required for businesses paying more than $75,000 per year in state sales tax.
  • Credit card payment: Yes.
Delaware currently does not have sales tax.
  • Website: Florida Department of Revenue
  • Electronic filing/payment: e-Services. Required for taxpayers who paid $20,000 or more in sales taxes the previous year or who file a consolidated return and have two or more places of business.
  • Credit card payment: Yes (fee).
  • Website: Iowa Department of Revenue
  • Electronic filing: eFile & Pay. Required for all businesses.
  • Electronic Payment: Required for annual sales tax payment of more than $60,000.
  • Credit card payment: Yes (fee).
  • Website: Comptroller of Maryland
  • Electronic filing/payment: bFile. Electronic filing optional.
  • Electronic payment: required for payments of $10,000 or more.
  • Credit card payment: Yes (fee).
  • Website: Massachusetts Department of Revenue
  • Electronic filing/payment: MassTaxConnect. Required for businesses with annual sales tax liability of $5,000 or more or applying for an additional registration. Zero-tax returns must be filed electronically.
  • Credit card payment: Yes (fee).
Montana currently does not have sales tax.
New Hampshire
New Hampshire currently does not have sales tax.
New Mexico
New York
North Carolina
North Dakota
Oregon currently does not have sales tax.  There are several cities with a sales tax.
  • Website: Pennsylvania Department of Revenue
  • Electronic filing: e-Tides. All businesses required to file electronically or by phone.
  • Electronic payment: An approved electronic funds transfer (EFT) method is required for taxpayers remitting payments of $1,000 or more.
  • Credit card payment: Yes (fee).
Rhode Island
South Carolina
South Dakota
  • Website: Utah State Tax Commission
  • Electronic filing: Taxpayer Access Point. Optional.
  • Electronic payment: EFT payment required for tax liability of $96,000 or more for the preceding calendar year.
  • Credit card payment: Yes (fee).
  • Website: Vermont Department of Taxes
  • Electronic filing/payment: myVTax. Required for businesses that pay sales tax for multiple locations, or if total annual sales tax exceeds $100,000.
  • Credit card payment: Yes (fee).
West Virginia
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