Click Through Nexus

More online retailers will be required to collect and remit Vermont sales tax on December 1, 2015 due to the state’s click through advertising law. As of October 2015, 16 states adopted similar laws, triggering the 15-state threshold for Vermont law. The Attorney General’s office determined the law was effective as of Oct. 13, 2015.

What Is the Click Through Advertising Law?

In 2011, the Vermont legislature passed a law that states a remote vendor will be presumed to have Vermont nexus for purposes of collecting sales tax if it has agreements with residents to refer customers that led to sales in excess of $10,000 in the previous year. 32 V.S.A. Sec. 9701(I).

Who Is Affected?

Those affected will be retailers who do not have a physical presence in Vermont, but that contract to advertise on websites of individuals or businesses located in Vermont.

What Do I Need to Do?

If you are a remote seller affected by this law, you must register for a Vermont business tax account and license to collect and remit Vermont sales tax. You can register online using myVTax.

Please view our statement on this topic.