West Virginia sales tax filing update July 2019

What's changing in West Virginia?

West Virginia has passed a law requiring marketplaces to collect and remit sales tax on sales facilitated through the marketplace effective July 1, 2019.
  • Amazon will begin this collection on July 1, 2019.
  • Etsy will begin this collection on July 1, 2019.
  • eBay will begin this collection on July 1, 2019.
  • Walmart will begin this collection on July 1, 2019.
As of July 31, 2019, we have not yet received confirmation that any additional carts currently supported as Marketplace Facilitators in TaxJar's Reporting will begin this automatic collection. 
  • We will update this article with more details as our research team receives more specific confirmation and guidance from the state's DOR as well as the currently supported Marketplace Facilitators.
  • You can view the state's guidance document here.

How does this affect me?

If you sell through a marketplace that has agreed to begin collection in this state, you'll see sales tax collected in West Virginia for sales on and after July 1, 2019 on your TaxJar Dashboard and on your West Virginia  Transactions page
  • If you have never set up a filing frequency for West Virginia in your account's State Settings, our system will default the state to a monthly frequency and due date on your Dashboard after we see tax collected there. (We default to a monthly frequency and due date if you haven't yet adjusted any frequencies on your end, but the state itself would ultimately determine your exact filing frequency.) 
  • If you are currently opted in to receive email reminders for your sales tax due dates, you'll also see West Virginia listed as a state where you have an upcoming monthly return due in those emails.

How does this affect my TaxJar Report for West Virginia?

Your West Virginia sales tax report will be updated in August 2019 (when returns for sales after July 1, 2019 are due) to specifically reflect sales that had tax collected and remitted by marketplaces that are supported as marketplace facilitators in TaxJar reports.  

I've never registered for a West Virginia license. Do I need to register for a sales tax license in this state now?

If seller meets definition for engaged in business, then state registration is required. 

I have already registered for a license in West Virginia and all of my sales are marketplace-only sales. Should I cancel my existing registration?

No. If you are a marketplace seller who has already registered due to meeting the definition for being a retailer engaging for business, you should remain registered, according to the DOR.

Do I still need to file returns in West Virginia?

Yes. Once you register for a license, you will be required to file a return based on the frequency the state has assigned you.
  • If you've previously registered, the state expects you to remain registered and continue to file returns. 

If all my sales are marketplace sales, do I need to file a $0 return?

Yes. If your only sales are Marketplace sales, the state still expects you to remain registered and file a return. You may be able to request a filing frequency change but would need to contact the state DOR directly. 

Do I need to collect taxes on my West Virginia sales through other platforms?

Yes. If you have nexus in the state (physical or economic) and you make sales to customers in West Virginia on platforms outside of the marketplace that is automatically collecting and remitting, you will also need to collect tax on your end on the West Virginia orders that are processed on the other platforms.

I still need to file returns in West Virginia. How do I do this without paying double tax on the sales that were collected and remitted by my marketplace?

When filing your West Virginia sales, you would include these sales in your Gross Sales. 

  • Then enter your marketplace sales on Schedule D - Line 14 "Sales of other per se exemptions"
  • Enter "Marketplace Sales" in the "please specify" box.