If you are a “volunteer seller” in a Streamlined Member state, as defined in section D.2.(b) of the Certified Service Provider (CSP) contract, the state compensates the CSP for providing the software and services necessary to:
Under the CSP contract, the CSP will not charge you for these services provided for the Streamlined Member states in which you are a “volunteer seller.”
To receive free CSP services a Seller must:
1. Register for that Streamlined Member state through the Streamlined Sales Tax Registration System;
2. Contract with a CSP; and
3. Meet all the following criteria (a-f) during the 12 months prior to registration with that state:
a. no fixed place of business for more than 30 days in that state;
b. less than $50,000 of Property, as defined below, in that state;
c. less than $50,000 of Payroll, as defined below, in that state;
d. less than 25% of its total Property or total Payroll, as defined, in that state;
e. was not collecting sales or use tax in that Streamlined State as a condition for the seller or an affiliate of the seller to qualify as a supplier of goods or services to that state; and
f. was not required to register and collect sales or use tax in that state as a statutory requirement for the seller or an affiliate of the seller to be able to sell, ship or deliver a particular type of product into that state.
A seller will lose its “volunteer seller” status in a Streamlined state if the seller is required to register in a state and no longer meets all of the above criteria (a-f) in that state.
A seller who meets the above criteria and who becomes legally obligated to register in a Streamlined State solely because of the enactment of (a) federal legislation, (b) state legislation or administrative action, or (c) a final federal court decision is a Volunteer Seller for that Streamlined State.
A remote seller that is only required to report and remit sales tax in a state because it meets the economic nexus threshold of that state qualifies for free CSP services in that state.
Contact a CSP to discuss the next steps on having them provide these services to you in the Streamlined states. Be sure to ask about the services available under the CSP contract with the Streamlined Sales Tax Governing Board.
The CSP may charge you for these services in any Streamlined Member states in which you are not a “volunteer seller” and for other services you want the CSP to provide.
A CSP may charge for services:
The “volunteer seller” definition is used to determine compensation for the CSP. This definition does not determine if a Seller has a legal obligation to collect sales or use taxes in any Streamlined State.
The CSP may charge you for their services in any Streamlined Member states in which you are not a "volunteer seller" and for other services you want them to provide.
Compensation for CSP Services is not payment to a seller for the administration of any state or local sales tax.