Utah drops the 200-transaction test from its remote-seller nexus rule

What changed in detail

Utah Senate Bill 47 (2025 General Session, Sales and Use Tax Remittance Amendments) was signed by the Governor on 25 March 2025. It takes effect on 1 July 2025.

The bill deletes the 200 or more separate transactions prong from Utah’s economic nexus rules in three places:

• Utah Code § 59-12-107(2)(c), for remote sellers;
• § 59-12-107.6, for marketplace facilitators;
• the related test for marketplace sellers making sales outside a marketplace.

What remains in each case is the revenue test. A seller, or a facilitator counting its own and facilitated sales, must collect if it receives gross revenue of more than USD 100,000 from sales of tangible personal property, products transferred electronically, or services for storage, use or consumption in Utah in the previous or current calendar year.

The enrolled copy’s long title describes the change as repealing the requirement to collect when a seller sells into the state “in more than a certain number of separate transactions”. Section 3 of the bill shifts the Tax Commission’s Tax Administration funding between the General Fund and the Tax Commission’s Administrative Charge Account. The swap nets to zero, and the long title states an appropriation of USD 0.

Utah is a member of the Streamlined Sales and Use Tax Agreement.

What it means

The change is in force. Utah followed Wyoming and Indiana, and Illinois followed from 2026.

A seller that registered only on transaction count no longer meets the test once its Utah revenue is at or below USD 100,000 in both the current and the previous calendar year.

Utah later widened what a seller collects on, though not who must collect. S.B. 162 (2026) taxes streaming digital content and all prewritten software from 1 July 2026. The revenue test already counted products transferred electronically, so S.B. 162 changes what a registered digital seller charges tax on, not whether it has to register.