Streamlined Sales Tax Voluntary Disclosure Program 2027: How It Works

In short: The Streamlined Sales Tax Voluntary Disclosure Program (SSTVD) lets remote sellers that owe past sales tax only because of economic nexus come forward in participating SST states during 2027. The lookback is capped at 24 months and penalties are waived where state law allows. It replaces the old SST registration amnesty.

Updated October 2026. This guide reflects new SSUTA Section 402.1, Rule 402.1 and the SST process document, as approved by the Streamlined Sales Tax Governing Board on October 14, 2026.

What is the Streamlined Sales Tax Voluntary Disclosure Program?

It is a multistate voluntary disclosure program for remote sellers, run through the Streamlined Sales Tax Governing Board. One application covers every participating state where you choose to come forward.

The program sits in new Section 402.1 of the Streamlined Sales and Use Tax Agreement (SSUTA), titled "Streamlined Sales Tax Voluntary Disclosure Program for Remote Sellers." The motion repeals the existing amnesty in Section 402 and replaces it with a "limited lookback voluntary disclosure program for remote sellers" (SSUTA Section 402.1 amendment). A companion Rule 402.1 sets out the procedures (SST Rule 402.1).

The Governing Board approved the amendment unanimously on October 14, 2026, according to KPMG. A similar proposal failed by one vote in 2024 (KPMG, This Week in State Tax). If you are new to the Agreement itself, read our guide to the Streamlined Sales Tax Project (SSTP).

When does the SSTVD run?

From January 1, 2027 to December 31, 2027. Applications for the initial program are due by December 31, 2027.

The program sunsets on December 31, 2027 unless the Governing Board votes to extend it (Section 402.1). The Section 402 amnesty ends when the SSTVD begins. Sellers already admitted to amnesty before that date keep their existing terms.

Who qualifies as a "qualified remote seller"?

A seller that would not have to register in a state without economic nexus. Status is decided separately for each participating state.

To qualify, you certify that your only reason to register is economic nexus, register through the Streamlined Sales Tax Registration System (SSTRS) in each participating state where you meet the threshold, and sign each state contract within 30 calendar days. Inventory held in a third party's warehouse does not disqualify you if you do not control it and the third party collects and remits tax on those sales (Section 402.1).

You are not a qualified remote seller in a state if you:

• Were already registered for sales tax there before joining the SSTVD (a narrow transition exception applies).
• Received notice of an audit, are under audit, or were audited on or after June 21, 2018.
• Registered with the state, or were contacted by it about registering, on or after June 21, 2018.
• Are under criminal investigation.
• Collected sales tax for the state and did not remit it.

June 21, 2018 is the date of the US Supreme Court's Wayfair decision. Check our guide to economic nexus by state to see which thresholds you have crossed and when.

What relief does the program give?

A capped lookback and waived penalties. It does not forgive the tax itself.

• Lookback: Limited to the prior 24 months, absent fraud or intentional misrepresentation, unless state law requires a longer period. It is counted back from your SSTRS registration date and never reaches months before you met the state's nexus threshold.
• Penalties: States must eliminate penalties and late filing fees for the lookback period to the extent their laws allow (Section 402.1).
• Interest: Section 402.1 does not address interest. Expect states to charge it unless they say otherwise.

Rule 402.1 says the SST website will list the penalties and fees each state cannot waive (Rule 402.1).

How does the SSTVD differ from the old amnesty and state VDAs?

The old amnesty forgave everything but asked a lot. The SSTVD forgives less but is narrower and shorter. A state VDA is negotiated one state at a time.

Today the amnesty is only on offer in Tennessee. It forgives uncollected tax, interest and penalties for unregistered periods. In return, a seller must register through SSTRS, collect in all full member states where it sells and stay registered for at least 36 months (SST, Amnesty).

Sources: (SST, Amnesty) (Section 402.1) (KPMG summary). State VDA terms vary; see our guide to voluntary disclosure agreements (VDAs).

Which states participate in the SSTVD?

That is not known yet. Existing full member states choose whether to opt in, and none had been announced by late October 2026.

Each state that is a full member on January 1, 2027 must tell the Executive Director in writing, at least 30 days before the program starts, whether it will participate. A state that stays silent is presumed not to participate. It can join later, starting on the first day of a month at least 30 days after notice. States that become full members on or after January 1, 2027 must offer the program for at least 12 consecutive months. Contingent and associate members must participate (Section 402.1).

The SST site lists 23 full member states and one associate member, Tennessee (SST, State Information). So Tennessee is required to take part; the other 23 decide by early December 2026.

Illinois is not an SST member, so the SSTVD will not apply there (SST, State Information). Illinois ran its own Remote Retailer Tax Amnesty Program from August 1 to October 31, 2026 (IDOR Bulletin FY 2026-28).

How does the application process work?

You apply once to SST staff, then sign a contract with each state. Filing and payment go directly to each state.

1. Apply to SSTGB staff, listing each state you want to join. Staff acknowledge within 1 business day and approve or deny within 10 business days (SST process document).
2. Sign contracts and register. Return signed contracts within 30 days and register through SSTRS. Registration is free and covers all 24 SST states, but SSTRS does not file returns (SST, SSTRS).
3. Start collecting no later than the first day of a calendar month that is no more than 60 days after you submit your contracts.
4. File lookback returns or comparable spreadsheets within 12 months of receiving the countersigned contract.
5. Pay the balance within 30 calendar days of the state's notice.
6. Stay registered for the longer of 24 months or until you fall below the threshold and properly close the account (Section 402.1).

Sellers that do not complete these steps lose the protection, and states may pursue collection, according to KPMG (KPMG summary).

What should remote sellers do now?

Do not register or call a state yet. Registering or being contacted can disqualify you in that state.

1. Map your nexus history state by state, with the month you first crossed each threshold.
2. Split states into SST members and non-members. The SSTVD only helps in participating SST states.
3. Estimate exposure for the last 24 months in each SST state, plus interest.
4. Check disqualifiers: past registrations, audit notices, state letters or tax collected but not remitted.
5. Watch the SST site in December 2026 for the participating state list and the penalties each state cannot waive.
6. Compare options for non-participating and non-SST states, such as individual state VDAs.
7. Plan ongoing filing for at least 24 months. See how to automate US sales tax filing in every state.

Non-US businesses face the same rules. Our guide to US sales tax for European and UK sellers covers registration from abroad.

Sources

• Streamlined Sales Tax Governing Board: SSUTA Section 402.1, Streamlined Sales Tax Voluntary Disclosure Program for Remote Sellers (SL26005-03 / AM26010-01)
• Streamlined Sales Tax Governing Board: Rule 402.1, Remote Seller Voluntary Disclosure (SL26005A01)
• Streamlined Sales Tax Governing Board: Process, Remote Seller Voluntary Disclosure (SL26005B03)
• Streamlined Sales Tax: State Information (member states)
• Streamlined Sales Tax: Amnesty (Tennessee only)
• Streamlined Sales Tax: Registration System (SSTRS)
• Illinois Department of Revenue: Bulletin FY 2026-28, 2026 Remote Retailer Tax Amnesty Program
• KPMG: This Week in State Tax, October 19, 2026
• KPMG: Streamlined Sales Tax Voluntary Disclosure Program summary (PDF)

How Taxually handles this

Taxually's LumaTax runs a nexus analysis on your sales, monitors thresholds, helps you register in the states where you need to, and prepares and files multi-state sales tax returns. LumaTax is currently available to enterprises and service providers such as accounting firms; e-commerce sellers can join the waiting list.

Related guides:

• What Is a Voluntary Disclosure Agreement (VDA) and Do You Need One?
• What Is the Streamlined Sales Tax Project (SSTP)?
• Economic Nexus by State: What You Need to Know
• Illinois Tax Amnesty 2026: October 31 Deadline and the $100,000 Threshold