Marketplace Facilitators to Collect and Remit Texas Sales Tax

[May 28, 2019] Effective October 1, 2019, marketplace facilitators selling into Texas are required to collect and remit Texas sales tax as retailers when they process sales for marketplace sellers. The law, which was signed on May 24, requires the marketplace facilitator to certify to each marketplace seller that the marketplace facilitator assumes the rights and duties of the seller for all sales tax collection requirements for all sales made by the marketplace seller through the marketplace. The legislation states that the Comptroller’s office may adopt rules and regulations to carry out these requirements and also may exempt certain marketplace facilitators from the previously mentioned collection requirements. 

A copy of the bill can be found here.

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Author

Matthew Gonnella

Matthew Gonnella is a Junior Regulatory Counsel at Sovos. Matthew joined the Sovos team in 2019 and focuses his work on U.S. sales and use tax law. Matthew is a member of the Massachusetts Bar, has a B.A. from Saint Anselm College, and a J.D. from Suffolk University Law School.
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