Yes—remote sellers should prepare for the Streamlined Sales Tax voluntary disclosure program, but should not register in a state solely to address past-due sales tax before checking whether that could affect eligibility. The program is designed to let qualifying remote sellers disclose and resolve certain unregistered sales-tax obligations in participating states, with a limited lookback and relief from penalties and late filing fees to the extent state law allows. The program rules provide for an initial application period beginning January 1, 2027, and ending December 31, 2027, unless extended by the Streamlined Sales Tax Governing Board.
Preparation now means identifying states where your business may have crossed economic nexus thresholds, separating marketplace-facilitated sales from your own direct sales, and checking each state’s participation and eligibility rules. Participation is not automatic: states may opt in, qualification is assessed state by state, and sellers must apply through the program process and meet registration, filing, payment, and ongoing collection requirements. Because the final state-by-state details and your facts matter, confirm the current position with the state or talk to us and we will check it for you.
Key takeaways
- Prepare a state-by-state sales and nexus review before applying.
- Only states that elect to participate will offer the program.
- The program generally limits qualifying lookback periods to 24 months, subject to state-law exceptions.
- Penalty and late-fee relief is limited by each participating state’s law; the tax remains due.
- Check registration timing and eligibility before taking action, and plan for future filings.
What the Streamlined Sales Tax voluntary disclosure program would do
The Streamlined Sales Tax voluntary disclosure program, often called SSTVD, is a proposed multistate route for eligible remote sellers to come forward about sales-tax obligations in states where they have not registered. Instead of approaching each state separately, a seller would submit an application through the Streamlined Sales Tax Governing Board staff and identify the participating states where it seeks relief. Each state would still decide whether the seller qualifies and what reporting and payment it requires.
The program is intended to limit the historical period covered by a qualifying disclosure and reduce certain additions to the tax bill. It does not erase the underlying sales tax due, excuse future compliance, or guarantee acceptance. For a closer look at the intended treatment of past liabilities, see our articles “Will a new multistate disclosure program cover remote-seller back taxes” and “Can remote sellers settle past-due tax through a new multistate program?”
Who may qualify as a remote seller
In general, a remote seller is a business selling into a state without a physical presence there. The program’s narrower eligibility concept is a “qualified remote seller”: the seller’s connection to the state must generally be based on meeting or exceeding that state’s economic nexus threshold, rather than another basis for tax collection responsibility. The program rules also require the seller to certify its eligibility, register in participating states where it meets the threshold, and begin collecting and remitting tax as required.
That distinction matters for ecommerce businesses using Amazon, Shopify, Etsy, Walmart, or other sales channels. A marketplace may collect tax on some marketplace-facilitated transactions, but that does not by itself establish that all of a seller’s sales are covered or that the seller has no separate registration duty. Direct website orders, other marketplaces, inventory or other in-state connections, and the state’s own rules can change the analysis. Eligibility is considered state by state, so do not assume that qualifying in one state means qualifying everywhere.
Which states may participate—and what remains uncertain
The program is not automatically available in every state. Under the adopted program framework, a participating state is a Streamlined Sales Tax member state that elects to participate; the state-by-state list and its requirements must be confirmed as the application period approaches. The program materials call for states to communicate whether they intend to participate before the program’s effective date, so a seller should not treat membership in Streamlined Sales Tax as proof that a particular state will accept applications.
Participation, covered taxes, lookback treatment, and any penalties or fees a state cannot waive are matters to verify for each state. The official program documents describe the framework, but the available results do not establish a final, complete list of participating states. We therefore will not guess which states will opt in. Check the Streamlined Sales Tax program materials and the relevant state revenue department, or talk to us and we will check the current state position for you.
How to identify unregistered sales-tax obligations
Start with a state-by-state review of where you sell and what kind of sales you make. Gather transaction reports by ship-to state and channel, marketplace tax reports, direct-store orders, returns and refunds, and records of any inventory or other business activity in a state. Compare the sales activity with each state’s current economic nexus rules and consider whether a separate physical or other connection could create an obligation even if sales are below a threshold.
Then reconcile what the marketplace collected and remitted against what your business was responsible for collecting. Do not count every marketplace order as automatically exempt from your review, and do not assume that marketplace collection covers direct sales. Keep the analysis and supporting records organized by state and period. If the facts are unclear, the exact position depends on your circumstances—confirm with the state, or talk to us and we will check it for you.
How far back can states assess tax, and may penalties be waived?
The program framework generally limits the lookback for a qualifying seller to no more than the prior 24 months, unless a participating state is specifically required by its law to use a longer period. The lookback is also tied to when the seller met or exceeded that state’s economic nexus threshold; the program materials say periods before that point are not included. This is a program-specific limit, not a general rule that states can never assess older periods outside the program.
The framework calls for eliminating penalties and late filing fees for the lookback period to the extent allowed by the participating state’s law. That qualification is important: relief is not necessarily identical in every state, and the underlying tax remains payable. A state may also identify penalties or fees it cannot waive. For the program’s practical implications, see “Streamlined remote-seller vda changes—should you prepare now?” and confirm the state-specific terms before relying on a particular outcome.
Why registering too soon could affect eligibility
Registration timing is a key issue because the program is designed for sellers who have not already registered in the relevant state. The program materials address sellers who register through the Streamlined Sales Tax Registration System after approval of the program but before its start, but that does not mean every early registration is harmless or that every seller will qualify. A registration made directly with a state, an existing account, prior contact from a state, or other circumstances may affect eligibility under the applicable rules.
Do not delay a legal obligation to collect tax simply to pursue possible relief, and do not register solely to address historical exposure without first checking the program rules and your facts. If collection is already required, the consequences of waiting need careful review. Before taking action, confirm whether the registration route and timing preserve eligibility in each state. Our articles on voluntary disclosure agreements in New Jersey and New York explain why state-specific procedures can matter when resolving past liabilities.
When sellers can apply and what participation may require
The program rules provide for an initial application period from January 1, 2027, through December 31, 2027, unless the Governing Board extends it. The program process calls for an application to be made available before the start, followed by submission to the Governing Board staff. The staff reviews the application and may request missing information; the state-by-state application and participation details should be checked against the official program materials when applications open.
Under the published process, an approved seller would sign state-specific contracts, register through the Streamlined Sales Tax Registration System for the states it is joining, and begin collecting and remitting tax within the required timeframe. The framework also requires the seller to prepare and file lookback-period returns or comparable state-required information and pay the balance due. Program materials specify deadlines for these steps, but the exact instructions and any state-specific requirements should be confirmed in the contract and with the state before filing or payment.
Prepare for registration, filings, and ongoing compliance
Before applying, assemble a clean record of sales by state, channel, and period; marketplace collection data; exemption documentation; returns already filed; and any state correspondence or registrations. Identify which states appear to meet the program’s eligibility criteria, which states may participate, and where your business may have obligations outside the program. This preparation helps you make a complete application and reduces the risk of overlooking a state or mischaracterizing marketplace sales.
Also plan for compliance after the disclosure. Registration is not the finish line: sellers may need to collect tax on future taxable sales, file returns on the assigned schedule, remit amounts due, and maintain records. Filing frequency, taxable products, sourcing, and marketplace treatment can differ by state. The exact position depends on your circumstances—confirm with the state, or talk to us and we will check it for you. For timing updates, see “When does the new multistate remote-seller disclosure program open?”
How hands-on compliance support can help
A multistate disclosure involves more than completing one form. A hands-on compliance service can help organize transaction data, assess potential state obligations, distinguish marketplace-collected tax from seller responsibilities, review eligibility questions, and coordinate the application and state-specific follow-up. Human review is especially useful where sales channels, inventory, prior registrations, or state notices complicate the picture.
Sales Tax Compliance USA is a done-for-you service staffed by people, not a software platform. We can help you prepare for the program, manage registrations and filings where appropriate, and keep track of ongoing obligations. We cannot promise acceptance, a particular lookback, or a waiver beyond what the state’s law and program terms allow. The right next step is a fact-specific review before you register or submit an application.
Program framework: what sellers should verify before acting
| Issue | Program framework | What the seller should verify |
|---|---|---|
| State participation | A Streamlined Sales Tax member state participates only if it elects to do so. | Whether the state has opted in, which taxes it covers, and its application requirements. |
| Eligibility | Qualification is considered state by state and is aimed at remote sellers whose relevant connection is economic nexus. | Whether another connection, existing registration, state contact, or prior activity affects eligibility. |
| Lookback | Generally no more than the prior 24 months, unless state law requires a longer period; periods before the seller met the state threshold are excluded under the framework. | The applicable start date, any state-law exception, and the periods the state requires the seller to report. |
| Penalties and late filing fees | The framework provides for relief to the extent allowed by participating-state law. | Which penalties or fees the state can waive and whether any exceptions apply. |
| Future compliance | Approved sellers must register and comply with collection, filing, and payment requirements. | Registration timing, first collection date, filing schedule, return format, and payment instructions. |
Frequently asked questions
What is the Streamlined Sales Tax voluntary disclosure program?
It is a multistate voluntary disclosure framework for qualifying remote sellers to address certain unregistered sales-tax obligations in states that elect to participate. It is intended to limit the lookback and provide penalty and late-fee relief to the extent state law allows, but the tax itself remains due and each state determines eligibility.
Who qualifies as a remote seller?
A remote seller generally sells into a state without a physical presence there. For this program, a qualified remote seller is subject to additional criteria, including a state-by-state assessment and a connection generally based on meeting that state’s economic nexus threshold. Other business connections or existing registrations may affect eligibility.
Which states will participate in the program?
Only states that elect to participate under the program framework will be included. A final complete list cannot be confirmed from the available official program materials, so sellers should check the Streamlined Sales Tax Governing Board and each relevant state revenue department before applying.
How far back can states assess unpaid sales tax?
For a qualifying seller using the program, the framework generally limits the lookback to no more than the prior 24 months, unless state law requires a longer period. It also excludes periods before the seller met or exceeded the state’s economic nexus threshold. This is not a general limit on assessments outside the program.
Will penalties and late fees be waived?
The program framework provides for eliminating penalties and late filing fees for the lookback period to the extent allowed by the participating state’s law. The relief is not guaranteed to be identical in every state, and it does not eliminate the underlying tax due.
When can sellers apply?
The program rules provide for an initial application period beginning January 1, 2027, and ending December 31, 2027, unless the Governing Board extends it. Sellers should confirm the application instructions and participating-state list through official program materials when applications become available.
What steps must a seller take to participate?
A seller must submit a completed application identifying the participating states it seeks to join and certify that it qualifies. If approved, it must follow the state-specific contract and registration process, begin collecting and remitting tax as required, file the required lookback-period returns or comparable information, and pay the balance due under the applicable instructions.
Does registering before applying affect eligibility?
It may. The program is intended for qualifying sellers that have not already registered in the relevant state, and registration timing and route can matter. Do not register solely to address past exposure without checking the current program rules and your state-specific facts; also do not delay collection when a legal obligation already applies.
Official sources
- https://www.streamlinedsalestax.org/docs/default-source/amendments/2026-amendments/7-sl26005-03—am26010-01—section-402-1—remote-seller-voluntary-disclosure.pdf?sfvrsn=22bcd5ea_6
- https://www.streamlinedsalestax.org/docs/default-source/comm-slac-documents/slac-2026/sl26005a02—rp26004—rule-402-1—remote-seller-voluntary-disclosure.pdf?sfvrsn=64d67b9_4
- https://www.streamlinedsalestax.org/docs/default-source/comm-slac-documents/slac-2026/sl26005b—process—remote-seller-voluntary-disclosure.pdf?sfvrsn=bbb23464_4
Related reading
- When does the new multistate remote-seller disclosure program open?
- Will a new multistate disclosure program cover remote-seller back taxes
- Can remote sellers settle past-due tax through a new multistate program?
- Streamlined remote-seller vda changes
- Our sales tax compliance services
Getting this handled
If you would rather not work this out yourself, that is what we do. We register you, file your returns and keep you compliant across every state where you have an obligation — one point of contact, one invoice. Talk to us about your situation.
Reviewed by Paul le Roux, CA(SA). Sales Tax Compliance USA handles US sales tax registration, filing and remittance for cross-border and domestic ecommerce sellers as a fully managed service.
This article is general information for educational purposes and does not constitute legal or tax advice. Sales tax rules change and depend on your specific facts. Consult a qualified tax professional about your own position.