Remote Sellers Will Have Wisconsin Tax Duties Beginning October 1

Beginning October 1, 2018, Wisconsin will require certain out-of-state sellers to pay sales or use tax. The tax will apply to sales of taxable products and services in Wisconsin. The Department of Revenue will develop rules for administering the tax on remote sellers.

Rules to Be Consistent with Wayfair

The rules will be consistent with South Dakota v. Wayfair, Inc., U.S. Supreme Court, Dkt. 17-494, June 21, 2018.

In Wayfair, the U.S. Supreme Court approved a small seller exception for certain remote sellers. The small seller exception applies to those who do not have annual sales of products and services into the state of:

  • more than $100,000, or
  • 200 or more separate transactions.

Any small seller exception adopted will not apply to sellers with a physical presence in Wisconsin.

Additional Information on Collection Duties

Additional information is available on the department’s website at https://www.revenue.wi.gov/Pages/Businesses/remote-sellers.aspx.

Remote Sellers – Wayfair Decision, Wisconsin Department of Revenue, July 5, 2018

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CCHTaxGroup

All stories by: CCHTaxGroup