The bill amends the General Sales Tax Act to clarify the responsibilities of marketplace facilitators regarding sales tax remittance in Michigan. It establishes that marketplace facilitators must remit sales tax on all taxable sales made directly or facilitated for marketplace sellers, regardless of the sellers' nexus with the state. The bill also outlines the rights and duties of marketplace facilitators, including their obligation to report sales and the conditions under which they can be relieved of liability for tax remittance errors. Notably, it prohibits class action lawsuits against marketplace facilitators related to overpayment of sales tax and specifies that purchasers are still responsible for remitting use tax when applicable.

Additionally, the bill introduces provisions for qualified delivery network sales, allowing the department to audit both the marketplace seller and the delivery network company involved in such sales. It also permits delivery network companies to deduct or exclude from their tax liability the amount of tax paid to marketplace sellers, under certain conditions. The bill defines key terms such as "delivery network company," "delivery network courier," and "qualified delivery network sale," ensuring clarity in the application of the law. Overall, these amendments aim to streamline tax compliance for marketplace facilitators and enhance the state's ability to collect sales tax effectively.

Statutes affected:
Senate Introduced Bill: 205.52
As Passed by the Senate: 205.52