While the Q2 2021 legislative session was relatively quiet on the SaaS sales tax front, several trends and developments indicate states are starting to turn more and more attention to the digital economy and where they can drive additional tax revenue.
In this update, Anrok reviews recent state sales tax legislation, decisions and cases impacting companies in the digital economy. If you are a finance leader at a SaaS company, this update will summarize the key things you should know from this past quarter.
Highlights from Q2 2021:
All states have now enacted economic nexus provisions
States continue to expand and clarify what digital products and services are defined as taxable
Several studies have been commissioned to review sales tax in the digital economy and where some states may be missing opportunities to garner revenue by expanding their tax base
Download this guide to review the important sales tax developments impacting SaaS companies from the last quarter.
Just over three years since South Dakota v. Wayfair, Inc. was decided, the last state holdout on the economic nexus front finally took action. On June 30, 2021, the Missouri governor signed legislation, passed by the state's house and senate earlier in the year to establish economic nexus thresholds for remote sellers.