Bill > HB5688

This bill modifies the state's General Sales Tax Act to clarify the responsibilities of "marketplace facilitators," which are businesses that facilitate retail sales for other sellers, often through online platforms. It generally holds these facilitators responsible for collecting and remitting sales tax on all taxable sales made through their platform, regardless of whether the individual seller has a physical presence in the state. The bill also specifies that the state will primarily audit the marketplace facilitator for these facilitated sales, with exceptions for situations where the marketplace seller provides incorrect information or fails to provide necessary details. A significant addition is the introduction of provisions for "qualified delivery network sales," which involve delivery services facilitated by a "delivery network company" (a type of marketplace facilitator) using "delivery network couriers" (individuals performing deliveries). For these specific sales, the state can audit both the marketplace seller and the delivery network company, and the delivery network company may be allowed to deduct or exclude from its tax liability the amount of sales tax it paid to the marketplace seller, provided certain conditions are met, such as the marketplace seller having charged the tax. The bill also defines terms like "delivery network company," "delivery network courier," and "qualified delivery network sale" to provide clarity on these new provisions.