Earlier this year, the Supreme Court ruled that states may require out-of-state companies to charge and remit sales tax in their state even if they do not have a physical presence. Most states are putting some type of threshold on how much economic activity is required to trigger the collection of sales tax.
For instance, beginning December 1, 2018, the state of Colorado will require companies that have more than $100,000 in sales or 200 separate transactions to collect and remit sales tax. Different states are having different effective dates and thresholds, and it is incredibly burdensome to keep track of the rapidly changing deadlines and requirements.
So, if you are a customer of ours in Colorado, you will start to see a sales tax on your invoices starting December 1, 2018. Typically this would then alleviate the need for you to remit use tax on those items (please consult with your own accountant or tax authority).
Here is a up to date, state by state list of the upcoming changes via Avalara.
If you have any questions regarding your invoice from EXACTA Dental Direct, please contact us at (800) 474-7665.