June 2025 Roundup: Tax laws you need to know   

While you focus on your business, we stay on top of legislative and policy changes that can affect your tax compliance. 

Transaction threshold termination. Illinois is eliminating its 200-transactions economic nexus threshold as of January 1, 2026. The state also plans to offer tax amnesty programs. Find out what that means for Illinois businesses and remote sellers who sell into the Prairie State.  

But wait, there’s more! Utah is joining the list of states cutting their remote seller transaction threshold. Find out what a remote seller threshold is, which states have eliminated thresholds, and what this means for companies doing business in the Beehive State. 

New and updated sales tax holidays. A sales tax holiday is a temporary break from sales tax; consumers don’t pay sales tax on certain goods or services that are normally taxable. While consumers (and some state governors) love these tax-free periods, they can create confusion for business owners. Florida is offering new sales tax holidays in 2025 (and new permanent sales tax exemptions), and other states have updated their sales tax holidays for 2025. 

Blink and you might miss it. Maryland’s new sales tax on data and IT services, Mississippi’s new food tax rate, and a plethora of other sales tax changes come into effect on July 1, 2025. Is your business ready?

Punctuality pays. About 30 states give tax breaks to businesses that file and remit sales tax on time, but such tax incentives are subject to change. See what’s new with vendor discounts. 

Continued tariff turbulence. We’re keeping track of current tariff news and how tariffs might affect tax compliance for your business, even as new lawsuits introduce more uncertainty about the future of tariffs. Here are our posts on what you need to know about the Trump tariffs, tariffs on goods from China, steel and aluminum tariffs, and how new tariffs impact the beverage alcohol industry. 

Cheers to DTC shipping. Most states permit wineries to ship directly to consumers (DTC), and some allow breweries, distilleries, and retailers to make DTC shipments. Find out which states allow your favorite beverage companies to ship directly from their brewery to your backyard BBQ.    

Shipping Malbec to the Magnolia State. Wine manufacturers will soon be allowed to ship wine directly to consumers in Mississippi. But before your winery ships Tempranillo to Tupelo or Barbera to Biloxi, you’ll want to read this blog post.  

Raise a glass in Little Rock. Arkansas is eliminating an on-site purchase requirement for direct wine shipping. This means wine drinkers will be able to buy their favorite varietals online and through wine clubs. Here’s what wine shippers in Arkansas need to know. 

The what, when, where, and why of W-9s. If your business hires independent contractors, you’ll want to be familiar with the appropriate tax forms. We break down the W-9 form and share tips on managing tax forms with automation.  

Speaking of automating tax forms. If you’re manually managing 1099s and W-9s, you could be losing time and money, and complicating your payroll process. Learn how Avalara 1099 and W-9 APIs are helping businesses streamline payroll and solve tax form challenges. 

Fueling up for excise tax compliance. An excise tax is an indirect tax on the consumption, manufacture, or sale of specific goods or services. This generally includes alcoholic beverages, tobacco, communications, or fuel. Get the 101 on excise tax, and learn how it differs from sales and use tax. 

The art of valuation. Accurate asset management is often an overlooked opportunity for tax savings. Find out how eliminating ghost assets and supporting appeals can save your business money.

The art of appeal. What if you could confidently challenge your commercial property tax assessment and reduce your tax burden? Here’s what you need to know to navigate the commercial property tax appeals process like a pro. 

Howdy, partners! At Avalara, we know that our partners’ success is our success. So we’re investing in the people and programs that help our partners grow. Learn more about our partner strategy and get the recap from the 2025 executive webinar.   

Stay up to date on the latest in tax compliance news and tax rule changes with the Avalara Tax Desk.