Bright Line Rule for Out-of-State Internet Sales in Massachusetts

Wednesday, April 5th, 2017

Close-up photo of internet cables and servers.

Massachusetts recently released a directive setting out a bright line rule for applying sales and use tax to out-of-state internet vendors.

Beginning July 1, 2017, an internet vendor with a principal place of business outside the state will be required to register, collect, and pay sales and use tax on its Massachusetts sales if in the preceding year it (1) had more than $500,000 in Massachusetts sales and (2) made more than 100 sales for delivery into Massachusetts.

For a six-month period - July 1, 2017 to December 31, 2017 - the rule will apply based on the preceding twelve months - July 1, 2016 to June 30, 2017. For each calendar year beginning with 2018, the rule will apply based on the preceding calendar year.

About TTR

Transaction (buying or selling things), Tax (the tax on this activity), Resources (our people, our website, our support services) - TTR, Inc.

TTR has a website that companies subscribe to and use daily. This website provides a list of everything that can be bought or sold in the U.S. It provides simple answers to whether buying or selling these items is taxable (subject to a sales tax or other tax), and it provides all the legal authority to support these tax answers.

TTR likes to keep things simple and fun, which is why it has great people who provide help to clients on any support questions they have about transaction tax issues.

Please visit TTR on the web at or call 866.578.8193.

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