eBay’s government relations team provided an update on the issue of online sales tax in a post on the eBay Mainstreet website on Thursday. The message: states were busy in 2019 updating and enacting sales-tax laws following the Supreme Court’s South Dakota v Wayfair decision, and states are resuming activity in 2020.
Nearly every state with sales tax had adopted a remote seller law, eBay wrote, and 39 jurisdictions (38 states plus Washington, DC) extended collection requirements to “marketplace facilitators” like eBay.
eBay said that under marketplace facilitator laws, it’s required to calculate, collect, and remit sales tax on behalf of sellers for items shipped to customers in those states.
After an “active year” in 2019, state lawmakers “picked up where they left off,” moving to adopt new laws that require out-of-state sellers without a physical presence in their state to collect and remit sales tax, it said.
eBay provided a link to a list of states for which it is currently collecting sales tax as well as states where future implementation is scheduled.
eBay also provided some recent examples of states passing new online sales-tax laws, including Colorado, Kansas, Mississippi, and Tennessee.
Florida and Missouri have not yet adopted an economic nexus law for remote sellers or marketplace facilitators, eBay said, but lawmakers in those states are working on bills that could impact its marketplace and sellers.
eBay also noted that Georgia passed a marketplace facilitator law that will take effect April 1, 2020.
“As states debate new IST laws or seek to revisit their existing requirements, eBay will continue to advocate for workable tax policies that provide reasonable small business protections and streamline collecting and remitting standards across the states to avoid confusion, mistakes, and costly penalties.” (IST stands for Internet Sales Tax)
The full announcement is available on eBayMainstreet.com.