Guidance for Remote Sellers

Maine Revenue Services (MRS) provides the following guidance in light of the recent United States Supreme Court ruling in South Dakota v. Wayfair, Inc., et al., issued on June 21, 2018.  In Wayfair, the Court held that out-of-state sellers with any substantial nexus with a State can be required to collect and remit sales and use taxes, without regard to physical presence in that State. The Court reversed the longstanding “physical presence” rule that it had established in the 1992 case of Quill v. North Dakota.  

Prior to the Wayfair decision, the Maine Legislature enacted a statute (Title 36 M.R.S.A.  § 1951-B) that requires a person selling tangible personal property, products transferred electronically, or taxable services for delivery into Maine to collect and remit sales tax in the same manner as a retailer with a physical presence in Maine.  A seller not otherwise required to register under Maine sales tax law meets the requirements of section 1951-B if, during the current or previous calendar year, it either sold tangible personal property, products transferred electronically, or taxable services for delivery into Maine in at least 200 separate transactions, or its gross revenues from Maine sales of tangible personal property, products transferred electronically, or taxable services exceeded $100,000. 

This statute will be enforced for sales occurring on or after July 1, 2018, the first monthly filing period after the date of the Wayfair decision.

MRS urges every seller that is subject to section 1951-B and has not already done so to immediately register as a Maine retailer and begin collecting and remitting Maine sales and use tax.  Any remote seller that, on or after July 1, 2018, met or meets one, or both, of the nexus thresholds established by section 1951-B, but did not register as a retailer, is subject to assessment for any uncollected or unremitted Maine sales and use taxes.

MRS has established this page for remote sellers to assist retailers with tax registration and understanding the taxability of the goods and services sold into Maine.  Customer assistance is also available through e-mail at sales.tax@maine.gov or by calling 207-624-9693 Monday-Friday between the hours of 9:00 AM – 12:00 noon  EST, holidays excepted.