Sales & Use Tax Foundations (Part 8) – Tax Returns and Payments

Part VIII: Basic Questions and Answers about State Sales and Use Tax:  Tax Returns and Payments

In our last blog, Part VII: Basic Questions and Answers about State Sales and Use Tax: Amounts Subject to Tax and Tax Rates, we focused on the seventh of our foundational sales and use tax topics — how to determine what amount is subject to tax and what rate to apply, aimed primarily at the nontax specialist, who is often challenged by the complexities of sales and use taxation. In this blog, we ask and answer a few basic questions about the topics — do tax returns have to be filed and how are tax payments made?

Sales and Use Tax Returns — In General

Question 1: What tax returns and/or reports are required to be filed?

All states require tax returns to be filed at least annually but depending upon the amount of sale tax collected, returns may be required to be filed more frequently, e.g., monthly or quarterly.

Question 2:  How are tax payments made and submitted to the tax authorities?

Payment procedures vary among the states.  Payment is generally made at the time the return is filed. More frequent payments may be required in some states if a taxpayer’s average monthly tax liability exceeds specified amounts. In addition, certain taxpayers must make their payments by electronic funds transfer.

Sales and Use: Tax Returns and Payments — State-Specific Rules

Chart 1:  Tax Returns

This chart lists sales and use tax return due dates.  
Jurisdiction Return Due Dates Citation
Alabama 20th of month following reporting period. Ala. Code §40-23-7
Arizona 20th of month following reporting period. Ariz. Rev. Stat. §42-5014
Arkansas 20th of month following reporting period. Ark. Code Ann. §26-52-501
California Last day of month following reporting period. Cal. Rev. & Tax. Code §6452
Cal. Rev. & Tax. Code §6455
Colorado 20th of month following reporting period. Colo. Rev. Stat. §39-26-105
1 Colo. Code Regs. §39-26-105.1(a)(6)
Connecticut Last day of the month following the end of the applicable monthly, quarterly, or annual period. Conn. Gen. Stat. §12-414
Special Notice 2014(3)
District of Columbia 20th of month following reporting period. D.C. Code Ann. §47-2015
D.C. Mun. Regs. t. 9, §420.11
Florida 20th of month following reporting period. Fla. Stat. §212.11
Fla. Admin. Code Ann. r. 12A-1.056
Georgia 20th of month following reporting period. Ga. Code Ann. §48-8-49
Ga. Comp. R. & Regs. 560-12-1-.22
Hawaii General excise tax and use tax return due 20th day of month following reporting period. Haw. Rev. Stat. §237-30
Haw. Rev. Stat. §238-5
Idaho 20th of month following reporting period. Idaho Code §63-3623
IDAPA 35.01.02.105
Illinois 20th of month following reporting period. 35 ILCS 105/9
35 ILCS 110/9
35 ILCS 120/3
35 ILCS 115/9
Indiana Monthly filers: (1) 20th of month following reporting period if average monthly sales and use tax liability in preceding year exceeded $1,000, or if filing combined sales/withholding tax return and withholding tax return is due by 20th; (2) 30th of month following reporting period if average monthly sales and use liability in preceding year did not exceed $1,000. Ind. Code §6-2.5-6-1(a), (d)
Annual filers: last day of month following reporting period.  
Iowa Last day of month following reporting period. Iowa Code §423.31(1)
Iowa Code §423.32(2)
Kansas 25th of month following reporting period. Kan. Stat. Ann. §79-3607(a)
Kan. Stat. Ann. §79-3706(a)
Kan. Admin. Regs. §92-20-6
Kentucky 20th of month following reporting period. Ky. Rev. Stat. Ann. §139.540
Ky. Rev. Stat. Ann. §139.550
103 Ky. Admin. Regs. 25:131
Louisiana 20th of month following reporting period. La. Rev. Stat. Ann. §47:306
La. Admin. Code tit. 61, §4351
Maine 15th of month following reporting period. Me. Rev. Stat. Ann. tit. 36, §1951-A
Code Me. R. 304
Maryland 20th of month following reporting period. Md. Code Ann. §11-502
Massachusetts 20th of month following reporting period. Mass. Gen. Stat. ch. 62C, §16
Mass. Regs. Code tit. 830, §62C.16.2
Michigan 20th of month following reporting period. Mich. Comp. Laws §205.56
Minnesota 20th of month following reporting period. Minn. Stat. §298A.20, subd. 4
Mississippi Monthly, quarterly filers: 20th of month following reporting period. Miss. Code Ann. §27-65-33(1)
4-week accounting period filers: 20th day following end of reporting period. Miss. Rule 35.IV.1.02
Missouri Monthly filers: 20th of month following reporting period. Mo. Code Regs. Ann. tit. 12, §10-104.030
Quarterly, annual filers: last day of month following reporting period.  
Nebraska 20th of month following reporting period. Neb. Rev. Stat. §77-2708(1)
Nevada Last day of month following reporting period. Nev. Rev. Stat. §372.355
Nev. Rev. Stat. §372.380
Nev. Rev. Stat. §374.360
Nev. Rev. Stat. §374.385
New Jersey 20th of month following reporting period. N.J. Admin. Code §18:24-11.2
New Mexico 25th of month following reporting period. N.M. Stat. Ann. §7-1-13
N.M. Stat. Ann. §7-9-11
New York Monthly filers: 20th of month following reporting period. N.Y. Tax Law, §1136
Quarterly filers: last day of month following reporting period.  
North Carolina Monthly filers: 20th of month following reporting period. N.C. Gen. Stat. §105-164.16
Quarterly filers: last day of month following quarter.  
North Dakota Last day of month following quarter. N.D. Cent. Code §57-39.2-11
Ohio 23rd of month following reporting period. Ohio Rev. Code Ann. §5739.12(A)
Ohio Admin. Code §5703-9-13(D)
Oklahoma 20th of month following reporting period. Okla. Stat. tit. 68, §1365
Okla. Stat. tit. 68, §1405
Okla. Admin. Code §710:65-3-1
Pennsylvania 20th of month following reporting period. 72 P.S. §7217
Rhode Island Monthly filers: 20th of month following reporting period. R.I. Gen. Laws §44-19-10
Quarterly filers: last day of month following reporting period. R.I. Code R. SU 89-94
South Carolina 20th of month following reporting period. S.C. Code Ann. §12-36-2570
S.C. Code Ann. §12-36-2580
South Dakota 20th of month following reporting period. S.D. Codified Laws §10-45-27.3
EFT remitters: 23rd of month following reporting period.  
Tennessee 20th of month following reporting period. Tenn. Code Ann. §67-6-504(a)
Tenn. Comp. R. & Regs. 1320-5-1-.74
Texas 20th of month following reporting period. Tex. Tax Code Ann. §151.401
34 Tex. Admin. Code §3.286(f)
Utah Last day of month following reporting period. Utah Code Ann. §59-12-107(3)
Utah Code Ann. §59-12-108(1)
Utah Admin. Code r. R865-19S-12
Vermont 25th (23rd of February) of month following reporting period. Vt. Stat. Ann. tit. 32, §9775
Virginia 20th of month following reporting period. Va. Code Ann. §58.1-615
23 Va. Admin. Code §10-210-480
Washington Monthly filers: 25th of month following reporting period. Wash. Rev. Code §82.32.045
Other filing periods: last day of month following reporting period.  
West Virginia 20th of month following reporting period. W. Va. Code §11-15-16
W. Va. Code §11-15A-10
W. Va. Code §11-15-20
Wisconsin Last day of month following reporting period. Wis. Stat. §77.58
Wyoming Last day of month following reporting period. Wyo. Stat. Ann. §39-15-107
Wyo. DOR Rule Ch. 2 §7

 

Chart 2:  Payments

Sales and Use Taxes >  Administration  >  Electronic Payments
The following chart indicates whether a state allows taxpayers to make sales and use tax payments electronically.
Jurisdiction Electronic Payments Comment Citation
Alabama Yes Required for taxpayers making individual payments of $750 or more. Ala. Code §41-1-20
Arizona Yes Required for taxpayers whose tax liability in the prior year was $1 million or more. Ariz. Admin. Code §15-10-302
Arkansas Yes Required if average monthly tax liability for the preceding year exceeded $20,000. We recommend you reference cited authority for more information. Ark. Code Ann. §26-19-105
California Yes Required if estimated monthly tax liability is $10,000 or more. We recommend you reference cited authority for more information. Cal. Rev. & Tax. Code §6479.3
Reg. 1707, 18 CCR
Colorado Yes Required for taxpayers whose sales tax liability for the previous calendar year exceeded $75,000. Colo. Rev. Stat. §39-26-105.5
Connecticut Yes Required if prior year liability exceeded $10,000 for the 12-month period ending the preceding June 30. We recommend you reference cited authority for more information. Conn. Gen. Stat. §12-686
District of Columbia Yes Required when the payment due for the tax period exceeds $25,000 and for payments made by third party bulk filers. D.C. Code Ann. §47-4402
Florida Yes Required if tax paid in the prior state fiscal year was $30,000 or more. All consolidated sales tax and solid waste and surcharge filers must remit payments electronically. We recommend you reference cited authority for more information. Fla. Stat. §213.755
Tax Information Publication, No. 02A01-22
Georgia Yes For tax periods from Jan. 1, 2010 – Dec. 31, 2010, EFT required for payments exceeding $1,000; for tax periods from Jan. 1, 2011, forward, EFT required for payments exceeding $500. We recommend you reference cited authority for more information. Ga. Code Ann. §48-2-32(f)(2.1)
Ga. Comp. R. & Regs. 560-3-2-.26(3)(a)
Hawaii Yes Required for taxpayers whose annual tax liability exceeds $100,000 in any taxable year. Haw. Rev. Stat. §231-9.9
Haw. Reg. 18-231-9.9-03
We recommend you reference cited authority for more information.
Idaho Yes Required when the amount due is $100,000 or more. We recommend you reference cited authority for more information. Idaho Code §67-2026
Illinois Yes Required for taxpayers whose state and local sales and use tax liability in the preceding calendar year was at least $200,000. Taxpayers who file electronic returns are also required to make electronic payments. 35 ILCS 105/9
35 ILCS 110/9
35 ILCS 120/3
Ill. Admin. Code tit. 86, §750.300
Ill. Admin. Code tit. 86, §760.220
Indiana Yes Required if taxpayer’s estimated monthly tax liability for current tax year or the average monthly tax liability for the preceding year exceeds $10,000. Beginning January 1, 2010, the department may require a person who is paying outstanding tax using periodic payments to make the payments by electronic funds transfer through an automatic withdrawal from the person’s account at a financial institution. Ind. Code §6-2.5-6-1(g)
Information Bulletin #77, Indiana Department of State Revenue, November 2008
Iowa Yes Required for all taxpayers. Iowa Code §423.50
Kansas Yes Required if total sales tax liability exceeds $45,000 in any calendar year. We recommend you reference cited authority for more information. Kan. Stat. Ann. §75-5151
Kentucky Yes Required if: (1) average payment per reporting period is at least $10,000; (2) payment is made on behalf of 100 or more taxpayers; (3) aggregate of funds to be remitted on behalf of others is at least $10,000 for each tax being remitted; or (4) average payment of sales tax per reporting period during 12-month period ending on September 30 of the year immediately preceding the current calendar year exceeds $25,000. We recommend you reference cited authority for more information. Ky. Rev. Stat. Ann. §131.155
103 Ky. Admin. Regs. 1:060
Louisiana Yes Required if tax due in connection a return exceeds $5,000. We recommend you reference cited authority for more information. La. Rev. Stat. Ann. §47:1519
La. Admin. Code tit. 61, §4910
Maine Yes Required for any taxpayer with a combined tax liability of $100,000 or more for all tax types during the previous calendar year. Effective January 1, 2009, threshold decreases to $50,000; effective January 1, 2010, threshold decreases to $25,000. Code Me. R. 102
Maryland Yes Required if tax of $10,000 or more is due in connection with a return. Md. Code Ann. §13-104
Md. Code Ann. §13-105
We recommend you reference cited authority for more information. Md. Code Regs. 03.01.02.01
Md. Code Regs. 03.01.02.05
Massachusetts Yes Required for taxpayers who are required to file electronic returns. Optional for other taxpayers. TIR 10-18
TIR 04-30
Michigan Yes Required if total sales and use tax liability for preceding calendar year was at least $720,000. Mich. Comp. Laws §205.56(3)
Mich. Comp. Laws §205.96(3)
We recommend you reference cited authority for more information.
Minnesota Yes Taxpayers with sales and use tax liability of $10,000 or more during the preceding fiscal year ending June 30 must make all payments for periods in subsequent calendar years by EFT, unless prohibited by religious beliefs. Minn. Stat. §289A.20
Minnesota Department of Revenue website
We recommend you reference cited authority for more information.
Mississippi Yes The Mississippi Department of Revenue uses an online filing and payment system called Taxpayer Access Point (TAP). Required for taxpayers owing $20,000 or more in connection with a return and for taxpayers who have received notification from the Tax Commissioner. We recommend you reference cited authority for more information. Miss. Code Ann. §27-3-81
Mississippi Taxpayer Access Point website
Missouri Yes May be required for taxpayers required to remit on a quarter-monthly basis. Mo. Rev. Stat. §144.081
Nebraska Yes Beginning July 2016, taxpayers are subject to EFT if they have made payments of $6,000 or more in the prior tax year. This threshold will be reduced in future years according to a specified schedule. Neb. Rev. Stat. §77-1784
Nebraska Department of Revenue website
We recommend you reference cited authority for more information.
Nevada Yes Nevada uncodified regulations, LCB File No. R062-05
New Jersey Yes Required for taxpayers whose tax liability for the prior year was $10,000 or more. N.J. Stat. Ann. §54:48-4.1
New Mexico Yes Taxpayers whose average tax payment during the previous calendar year was $25,000 or more are required to pay by EFT or another method specified by statute. We recommend you reference cited authority for more information. N.M. Stat. Ann. §7-1-13.1
New York Yes Required if, on or after June 1, the taxpayer’s liability for the June 1 through May 31 period immediately preceding was more than $500,000 for state and local sales and use taxes or more than $5 million for prepaid state and local sales and use taxes on motor fuel and diesel motor fuel. N.Y. Tax Law, §10
North Carolina Yes Required for taxpayers whose tax liability was at least $240,000 during a 12-month period. We recommend you reference cited authority for more information. N.C. Gen. Stat. §105-241
N.C. Admin. Code tit. 17, §17.01C.0504
North Dakota Yes N.D. Cent. Code §57-39.4-20
Ohio Yes Taxpayers must use commissioner approved electronic method. Certain direct pay permit holders are required to use EFT. Ohio Rev. Code Ann. §5739.032
Ohio Rev. Code Ann. §5739.122
We recommend you reference cited authority for more information. Ohio Rev. Code Ann. §5739.12
Oklahoma Yes Required for taxpayers who owed an average of $2,500 per month during previous fiscal year. We recommend you reference cited authority for more information. Okla. Stat. tit. 68, §1365(C)
Pennsylvania Yes Required for payments of $1,000 or more. 61 Pa. Code §5.3
72 P.S. §9
We recommend you reference cited authority for more information.
Rhode Island Yes Required if the seller’s average monthly sales and use tax liability in the previous calendar year was at least $200. R.I. Gen. Laws §44-19-10.3
South Carolina Yes Taxpayers who paid $15,000 or more for any one filing period during the past year in sales, use, accommodations, local option, or special local taxes can be required to pay by EFT. S.C. Code Ann. §12-54-250
We recommend you reference cited authority for more information.  
South Dakota Yes S.D. Codified Laws §10-59-32
Tennessee Yes Required if tax required to be paid in connection with a return is $1,000 or more. Effective January 1, 2013, required if average sales tax liability is $500 or more. We recommend you reference cited authority for more information. Tenn. Code Ann. §67-1-703(b)
Texas Yes Required for taxpayers who paid a total of $10,000 or more in a single category of payments or taxes during the preceding state fiscal year if the Comptroller reasonably anticipates the taxpayer will pay at least that amount during the current fiscal year. We recommend you reference cited authority for more information. Tex. Tax Code Ann. §111.0625
34 Tex. Admin. Code §3.9
Utah Yes Required for taxpayers whose liability for state, local, public transit, municipal energy, and short-term leases and rentals of motor vehicles sales and use taxes was $96,000 or more in the previous tax year. Utah Code Ann. §59-12-108
Utah Admin. Code r. R865-19S-86
Vermont Yes May be required for any taxpayer required to pay a federal tax by EFT or for any taxpayer who has submitted to the Tax Department two or more protested or otherwise uncollectible checks with regard to any state tax payment in the prior two years. Vt. Stat. Ann. tit. 32, §9776
We recommend you reference cited authority for more information.  
Virginia Yes Beginning with the July 2012 return (due August 20, 2012), monthly filers of the ST-9 and ST-9CO must submit their returns and payments electronically. Quarterly filers will be required to file and pay electronically beginning with the September 2013 return, due October 21, 2013. To meet this electronic filing requirement, the returns must be filed using eForms, Business iFile or Web Upload. Taxpayers that are unable to make the necessary changes to file and pay electronically may request a temporary waiver from the department. Such request must be in writing and provide the following information: business name, Virginia tax account number, contact person, phone number, e-mail address (optional), mailing address, the reason for the request, and the date when the retail sales taxes can be filed and paid electronically. Virginia Department of Taxation website
Washington Yes Required for taxpayers filing returns on a monthly or quarterly basis. Wash. Rev. Code §82.32.080
Wash. Rev. Code §82.32.085
We recommend you reference cited authority for more information. Wash. Admin. Code §458-20-22802
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AUTHOR

Jerome Nestor

Jerome Nestor, Esq., CPA, MBA-Accounting Information Systems Manager Tax & Accounting North America Wolters Kluwer Mobile: +1 847.312.5671 Email: jerry.nestor@wolterskluwer.com

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