Colorado Adopts Permanent Rules Regarding Out-of-State Sellers

[April 26, 2019] The Colorado Department of Revenue has adopted permanent regulations to require out-of-state retailers that are doing business in Colorado and have substantial nexus with the state to collect Colorado sales or use tax. Out-of-state retailers are considered to have a substantial nexus with Colorado for sales tax purposes if the retailer’s gross revenue from the sale of tangible personal property or services delivered into Colorado exceeds $100,000. A previous threshold for retailers of having 200 or more transactions into the state no longer applies. The Department has extended out-of-state retailers a grace period through May 31, 2019 to comply.

For full text of the permanent rule click here

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Author

Alex Samuel

Alex Samuel is a Junior Regulatory Counsel at Sovos Compliance. Within Sovos’ Regulatory Analysis function, Alex focuses on enterprise sales tax issues arising in various domestic and international jurisdictions. Prior to Sovos, Alex worked as an attorney at New Hampshire Legal Assistance. Alex is a member of the New Hampshire and Massachusetts Bars, earned his B.S. from the University of Minnesota and his J.D./LL.M from the University of New Hampshire School of Law.
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