The elimination of the transaction count threshold simplifies economic nexus compliance for remote sellers in California by focusing solely on gross revenue. Previously, remote sellers had to exceed both a $500,000 sales threshold and a specific number of transactions to establish nexus. With the removal of the transaction count:

• Simplified Compliance: Sellers only need to monitor their total sales volume to ensure they remain below or exceed the $500,000 threshold.

• Reduced Administrative Burden: Eliminates the need to track and report individual transactions, streamlining compliance processes.

• Clear Focus on Revenue: Enhances predictability and ease of compliance by concentrating on a single metric.

Remote sellers must ensure they monitor their total sales to California, fostering a more straightforward approach to meeting economic nexus requirements and reducing the complexity of multi-metric compliance.