Retailers Outside Of California Will Soon Have To Pay California Taxes

SACRAMENTO (CBS13) — Ever tried to bypass California sales tax by buying from an out-of-state retailer and have your item shipped to you? That loophole is closing for many retailers on April 1.

Beginning in April of 2019, retailers located outside of California are required to register with the California Department of Tax and Fee Administration (CDTFA), collect the California use tax, and pay the tax to the CDTFA even if they do not have a physical presence in the state.

The tax requirements apply to a retailer if, during the preceding or current calendar year, their sales into California exceed $100,000 or they made sales into California in 200 or more separate transactions.