Multi-State – Remote Seller and Nexus Bills Introduced


SALT Report 2208 – The following states have recently introduced remote seller, affiliated seller, and click-through nexus bills.


The Kansas Senate passed a bill that contains affiliate and click-through nexus provisions.  The affiliate nexus portion requires a person who sells or leases tangible personal property to the state of Kansas, a department of the state, or an agency of the state to register as a retailer with the Department of Revenue and collect and remit sales and use tax on taxable sales.

The click-through nexus portion creates a rebuttable presumption of nexus when a retailer enters into an agreement with a Kansas resident who, for a commission or other consideration refers potential customers to the retailer by a link on a website, telemarketing, or in-person presentations. The retailer’s cumulative gross receipts from sales to Kansas customers who are referred to the retailer under the above type of agreement must exceed $10,000 during the preceding 12 months.

The bill also states that any ruling, agreement, or contract between a retailer and the state of Kansas which provides that the retailer is not required to collect sales and use tax despite the presence of a warehouse, distribution center, or fulfillment center in the state that is owned or operated by the retailer is null and void.  If enacted, the bill would take effect on July 1, 2013.


The Massachusetts Senate introduced a bill that establishes a presumption that a person is a vendor if the person enters into an agreement with a Massachusetts resident who, for a commission or other consideration, refers potential customers to the person, and the person’s cumulative gross receipts from all sales to Massachusetts customers are greater than $10,000 during the preceding 12 months.  The presumption may be rebutted by proof that the resident did not engage in any solicitation in the state on behalf of the person during the 12-month period in question.

New Mexico

The New Mexico Senate introduced a bill that would require remote sellers to pay gross receipts tax. The legislation also amends the term “engaged in business” in New Mexico to include selling goods or delivering products directly or indirectly to a customer located in New Mexico.  The bill would also repeal the exemption for receipts from a service performed outside the state.  If enacted, the bill would take effect July 1, 2013.


The Oklahoma House of Representatives introduced legislation that would amend the definition of a taxable sale to include the sale of tangible personal property by an out-of-state vendor over the internet to an Oklahoma customer, regardless of whether the vendor has nexus with Oklahoma. However, the terms of this bill would not apply if the sale is made by a vendor who is a resident of a state that has laws exempting this type of sale by Oklahoma businesses.

For Further Information

Kansas Senate – SB 84

Massachusetts – SB 1330

New Mexico Senate – SB 539

Oklahoma House of Representatives – HB 1337