Out-of-state sellers with no physical presence in North Dakota are now subject to sales and use tax if they meet certain thresholds.
Thresholds for Remote Sellers to Be Subject to Tax
Remote sellers must collect North Dakota sales and use tax if, during the previous or current calendar year:
- the seller’s sales into North Dakota exceed $100,000; or
- the seller has 200 or more sales shipped to North Dakota.
A 2017 law provided that the thresholds would take effect if the U.S. Supreme Court overturned Quill Corp. v. North Dakota, 504 US 298 (1992). The U.S. Supreme Court issued an opinion in South Dakota v. Wayfair, Inc., U.S. Supreme Court, Dkt. 17–494, June 21, 2018, overruling Quill.
The North Dakota State Tax Commissioner issued a statement regarding the opinion at https://www.nd.gov/tax/news/351/.
Information for Remote Sellers
The Office of State Tax Commissioner is posting information for remote sellers at https://www.nd.gov/tax/remoteseller. The Tax Commissioner’s office will add information to the website as it becomes available.
Press Release, North Dakota Office of State Tax Commissioner, June 21, 2018; Remote Seller Sales Tax, North Dakota Office of State Tax Commissioner; June 21, 2018; Ch. 408 (S.B. 2298), Laws 2017
Learn about the decision in South Dakota v. Wayfair and get CPE Credit at CCH CPELink . Quill Overturned: How the Wayfair Decision Could Transform Sales Taxes Nationwide .