AVALARA TAX CHANGES 2025
Keep your finger on the pulse of tax compliance.
The Avalara Tax Changes 2025 midyear update is here. With insights from industry professionals and Avalara experts, this timely supplement to our annual report explores emerging developments in sales tax and tariffs.
Here’s a taste of what you’ll find in the full report
Emerging sales tax trends
Modernizing sales tax
The sales tax base is dwindling and sales tax rates are rising because state tax policies haven’t kept pace with changes in consumer behavior. States are responding in different ways.
Simplifying economic nexus
With Alaska chucking its 200-transactions threshold effective January 1, 2025, a total of 14 states have eliminated their economic nexus transaction threshold — and they won’t be the last. New Jersey has introduced a bill to get rid of its transaction threshold.
The e-invoicing tornado
More than 80 countries have e-invoicing mandates; others will likely adopt them soon. According to a recent billentis report, e-invoicing is entering a “tornado” — a phase of rapid and widespread adoption of new technology.