This bill amends the Sales and Use Tax Act by eliminating the transaction nexus requirement for remote sellers. Under current law, a remote seller is required to collect and remit sales tax to New Jersey if their gross revenue from taxable transactions exceeds $100,000 in the current or prior calendar year, or if they made 200 or more separate taxable transactions for delivery into the state. The bill removes the second criterion regarding the number of transactions, meaning that remote sellers will only need to collect sales tax if their gross revenue threshold is met.

By simplifying the criteria for tax collection, the bill aims to streamline compliance for remote sellers and reduce the burden of tracking transaction counts. The changes will take effect on the first day of the second month following the date of enactment, ensuring that the new rules are applied moving forward without retroactive obligations for sellers.

Statutes affected:
Introduced: 54:32B-3.5