A bill to amend 1933 PA 167, entitled “General sales tax act,” by amending section 2d (MCL 205.52d), as added by 2019 PA 143.
This bill seeks to clarify the obligations of marketplace facilitators in the collection and remittance of sales tax for sales made within Michigan. The bill outlines that marketplace facilitators, regardless of their physical presence in the state, are responsible for remitting sales tax on all taxable sales made by them or facilitated on behalf of marketplace sellers to purchasers in Michigan. This applies even if the marketplace sellers themselves do not have a nexus, or physical presence, in the state. The bill also details the reporting requirements for marketplace facilitators, specifying that they must report both their direct sales and the sales they facilitate in Michigan in a manner prescribed by the department. Additionally, it addresses the tax implications for delivery network companies and the conditions under which they can deduct or exclude certain amounts from their tax obligations. Key definitions provided in the bill include "affiliate," "delivery network company," and "delivery network courier," clarifying the roles and relationships between different entities involved in marketplace sales and delivery services. The bill emphasizes that its provisions apply irrespective of a marketplace facilitator's physical presence in Michigan, aiming to ensure that all applicable sales within the state are subject to sales tax.
Co-sponsored by Reps.
Referred to the Committee on Tax Policy
