Sales tax rate changes, July 2020

July 1 marks the start of a new quarter, and in all but four states (Alabama, Michigan, New York, and Texas), a new fiscal year. As a result, it’s common for sales and use tax changes to take effect on July 1.

For example, starting July 1, 2020:

• Chicago taxes remote sales of bottled water and wine
• Connecticut resumes collection of its single-use plastic bag fee
• Louisiana requires certain out-of-state sellers and marketplaces to collect and remit sales tax, including out-of-state wine manufacturers, producers, and retailers
• Virginia exempts certain gun safes and increases tax on certain tobacco products
• Washington provides a sales tax exemption for feminine hygiene products

To learn more about sales tax changes and trends, check out the 2020 sales tax changes midyear update.

Many local sales and use tax rate changes also take effect on July 1, 2020, including:

• Arizona (food for home consumption in Clarkdale)
• Arkansas
• California
• Colorado
• Connecticut: Admissions to Dunkin’ Donuts Park are exempt from tax
• Georgia
• Illinois
• Kansas
• Louisiana: See Lafayette Parish and Plaquemines Parish
• Minnesota
• Missouri
• New Mexico
• North Dakota: See also annexation information about Bismarck and Fargo
• Oklahoma
• Texas
• Utah
• Virginia
• Washington
• West Virginia

Avalara helps businesses of all sizes calculate sales tax in all states.