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2026 Sales Tax Changes: Key Updates for Ecommerce, SaaS, and Digital Sellers

  • States are expanding digital tax rules in 2026, increasing taxability for streaming, subscriptions, SaaS, and digital services.
  • Economic nexus rules are tightening, with states like Illinois removing transaction thresholds, impacting low-volume, high-ticket sellers.
  • Sales tax exemptions are changing for categories such as food, fuel, equipment, and bundled transactions, requiring detailed item-level reviews.
  • Filing frequency requirements are increasing, with more businesses required to file sales tax returns more often.
  • No statewide base sales tax rate increases, but local rate changes, reduced vendor discounts, and altered exemptions may affect total tax owed.

Source: taxcloud.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



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