On May 14, 2021, the Missouri Legislature passed Senate Bill 153 enacting economic nexus provisions and the bill is expected to be signed by Governor Mike Parson. This bill also addresses sales made through marketplace facilitators.
What you should know:
Economic nexus applies to out-of-state vendors making sales of tangible personal property into Missouri. Note that “sales” includes all sales into Missouri by any means and not just online sales.
The effective date of the legislation is January 1, 2023.
The sales threshold before triggering economic nexus is $100,000 and is based on the previous 12 months’ sales. Once you exceed the threshold you are required to begin collecting and remitting the use tax to Missouri.
In addition, beginning on January 1, 2023, a “marketplace facilitator” is required to collect and remit use taxes to Missouri on behalf of third-party sellers who make sales of their products through the facilitators’ platform. A “marketplace facilitator” is someone who provides an online platform for sellers to sell their products or services. For example, Amazon, eBay, and Etsy are marketplace facilitators.