Bill > HB5139

This bill amends Michigan's Use Tax Act to modify regulations around marketplace facilitators and sellers, particularly in the context of sales tax collection and registration requirements. The bill expands definitions and creates new provisions for marketplace facilitators, which are entities that facilitate retail sales through online or physical platforms. Specifically, the bill introduces a new provision that allows marketplace sellers of rooms, lodgings, or accommodations to be exempt from registration if all their sales are booking transactions made by a marketplace facilitator required to remit tax, and the seller files an annual attestation with the state. The bill also clarifies that marketplace facilitators are generally responsible for collecting and remitting sales tax on transactions they facilitate, even if the marketplace seller does not have a direct nexus in the state. An important exception is created for sales of rooms, lodgings, or accommodations, where a marketplace seller can be solely responsible for tax remittance if they enter into a specific written agreement with the facilitator. The bill aims to streamline tax collection processes for online and digital marketplace transactions, providing clearer guidelines for both marketplace facilitators and sellers about their tax obligations. The bill will only take effect if certain related House Bills are also enacted into law.

Government Affairs

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-5139