PREPROPOSAL STATEMENT OF INQUIRY
DEPARTMENT OF REVENUE
[Filed October 2, 2018, 8:18 a.m.]
Subject of Possible Rule Making: WAC 458-20-221 Collection of use tax by retailers and selling agents.
Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: WAC 458-20-221 provides guidance regarding the need for a seller to have a physical presence in Washington in order to establish the required nexus for the state to impose a use tax collection obligation on retail sales into Washington. The United States supreme court's recent decision in South Dakota v. Wayfair
, 138 S.Ct. 2080 (2018), allowed Washington to impose a sales or use tax collection obligation on sellers who do not have a physical presence in this state. Pursuant to this decision and RCW 82.08.0254
, and 82.32.733
, effective October 1, 2018, the department will require a remote seller to collect retail sales or use tax on all taxable sales sourced to Washington if it exceeds $100,000 in gross retail sales or two hundred retail transactions in the state during the current or prior calendar year. Therefore, this rule needs to be updated to reflect these changes to who is required to collect use tax on taxable retail sales into Washington.
Process for Developing New Rule: Parties interested in this rule making may contact the individual listed below. The public may also participate by providing written comments throughout this rule-making process or giving oral testimony at the public meeting and/or public hearing.
Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Adam Wolfson, P.O. Box 47453, Olympia, WA 98504-7453, phone 360-534-1588, fax 360-534-1606, TTY 800-833-6384, email email@example.com, web site dor.wa.gov.
Additional comments: Written comments may be submitted by mail or email and should be directed to Adam Wolfson using one of the contact methods above.
October 2, 2018
Erin T. Lopez