Sales Tax Collection by Marketplace Facilitators

• Does the marketplace facilitator legislation affect a taxpayer’s nexus for business tax or franchise and excise tax purposes?
• What is a marketplace?
• Who is a marketplace facilitator?
• Who is not a marketplace facilitator?
• What is a delivery network company?
• What are delivery services?
• How does a delivery network company elect to be a marketplace facilitator?
• When must a marketplace facilitator collect and remit Tennessee sales tax?
• Are there exclusions as to when a marketplace facilitator must collect and remit sales tax?
• How does a marketplace facilitator demonstrate to the Department that substantially all its marketplace sellers are registered and collecting with the Department?
• When should a marketplace facilitator register and begin collecting sales and use tax?
• How is the $100,000 marketplace facilitator threshold calculated?
• How should a marketplace facilitator with an active Tennessee registration report its own sales and its facilitated sales?
• How should an unregistered marketplace facilitator register with the Department and report the sales it facilitates?
• How are sales made through a marketplace facilitator sourced for sales tax purposes?
• Can a marketplace seller who is not located or registered in Tennessee purchase tangible personal property tax-exempt from a Tennessee drop shipper to fulfill a Tennessee sale made through a marketplace facilitator?