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US Texas Sales Tax economic nexus

  • Jan 3, 2019 | Richard Asquith

US Texas Sales Tax economic nexus

Texas has become the latest US state to implement Sales Tax obligations on out-of-state (non-resident) merchants. This follows the 2018 South Dakota vs Wayfair Supreme Court ruling obliging remote sellers without a presence in a state to charge and remit local Sales Tax.

From 1 October 2019, out-of-state merchants with sales of above $500,000 per annum in Texas during the prior year must register with the Texas Controller of Public Accounts, collect and remit Sales Tax.

Texas is the second most populous state in the US. It follows a similar recent announcement from the largest state, California, to introduce remote Sales Tax obligations from April 2019. 

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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He can be contacted at: richard.asquith@avalara.com. He is part of the European leadership team which won International Tax Review's 2020 Tax Technology Firm of the Year. Richard trained as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.
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