ND SB2191

Out-of-state sellers without physical presence in North Dakota must collect and remit sales or use tax if gross sales of tangible property delivered to the state exceed $100,000 in the previous or current calendar year, or if they complete 200 or more separate transactions in the state.

Sellers exceeding the $100,000 threshold must obtain a permit under section 57-39.2-14 and begin collecting tax during the following calendar year or within 60 days of meeting the threshold, whichever is earlier.

Out-of-state sellers meeting the criteria must follow all applicable procedures and requirements as if they had a physical presence in North Dakota.

The law applies to both sales tax (section 57-39.2-02.2) and use tax (section 57-40.2-02.3) provisions.

The effective date is for taxable years beginning after December 31, 2018.