,,ii #aaf? ,,congress #a/ ,session ,s4 #abh ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,janu>y #ae1 #bjai,mr4 ,te/] 7= himself1 ,mr4 ,wyd51 ,mrs4 ,%ahe51 ,ms4 ,hassan1 & ,mr4 ,m]kley7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,f9ance ,a ,,bill ,to regulate c]ta9 ,/ate impositions on int]/ate comm]ce4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,/op ,tax+ ,our ,pot5tial ,act ( #bjai4 #b4 ,m9imum jurisdictional /&>ds = ,/ate & local sales & use tax collection 7a7 ,9 g5]al ,a ,/ate may n-- 7#a7 impose an obligation on a p]son =-- 7,a7 ! collection ( a sales tax1 use tax1 or any simil> tax2 or 7,b7 ! report+ ( any in=mation ) respect to a tax describ$ 9 subp>agraph 7,a72 7#b7 assess any tax describ$ 9 p>agraph 7#a77;,a7 on a p]son2 or 7#c7 treat a p]son z do+ bus9ess 9 a ,/ate = purposes ( any tax describ$ 9 p>agraph 7#a77;,a71 unless su* p]son _h a physical pres5ce 9 ! ,/ate dur+ ! cal5d> qu>t] ) respect to :i* su* obligation or assessm5t is impos$4 7b7 ,requirem5ts = physical pres5ce 7#a7 ,9 g5]al ,= purposes ( subsection 7a71 a p]son has a physical pres5ce 9 a ,/ate only if su* p]son's bus9ess activities 9 ! ,/ate include any ( ! foll[+ dur+ ! cal5d> qu>t]3 7,a7 ,ma9ta9s its comm]cial or legal domicile 9 ! ,/ate4 7,b7 ,owns1 holds a leasehold int]e/ 91 or ma9ta9s real prop]ty su* z a retail /ore1 w>eh\se1 di/ribution c5t]1 manufactur+ op]ation1 or assembly facility 9 ! ,/ate4 7,c7 ,leases or owns tangible p]sonal prop]ty 7o!r ?an comput] s(tw>e7 ( m ?an de m9imis value 9 ! ,/ate4 7,d7 ,has "o or m employees1 ag5ts1 or indep5d5t contractors pres5t 9 ! ,/ate :o provide on-site design1 in/allation1 or repair s]vices on behalf ( ! remote sell]4 7,e7 ,has "o or m employees1 exclusive ag5ts or exclusive indep5d5t contractors pres5t 9 ! ,/ate :o engage 9 activities t sub/antially assi/ ! p]son to e/abli% or ma9ta9 a m>ket 9 ! ,/ate4 7,f7 ,ma9ta9s an (fice 9 ! ,/ate at :i* x regul>ly employs ?ree or m employees = any purpose4 7#b7 ,de m9imis physical pres5ce ,= purposes ( ?is section1 ! t]m physical pres5ce %all n include-- 7,a7 ent]+ into an agreem5t "u :i* a p]son1 = a commission or o!r consid]ation1 directly or indirectly ref]s pot5tial pur*as]s to a p]son outside ! ,/ate1 :e!r by an int]net-bas$ l9k or plat=m1 int]net website or o!rwise2 7,b7 any pres5ce 9 a ,/ate1 z describ$ 9 section #b7;b77#a71 = less ?an #ae days 9 a taxable ye> 7or a great] numb] ( days if provid$ by ,/ate law72 7,c7 product placem5t1 setup1 or o!r s]vices (f]$ 9 connection ) deliv]y ( products by an int]/ate or 9-,/ate c>ri] or o!r s]vice provid]2 7,d7 int]net adv]tis+ s]vices provid$ by 9-,/ate resid5ts :i* are n exclusively direct$ t[>ds1 or d n solicit exclusively1 9-,/ate cu/om]s2 7,e7 own]%ip by a p]son outside ! ,/ate ( an int]e/ 9 a limit$ liability company or simil> entity organiz$ or ) a physical pres5ce 9 ! ,/ate2 7,f7 ! furni%+ ( in=mation to cu/om]s or affiliates 9 su* ,/ate1 or ! cov]age ( ev5ts or o!r ga!r+ ( in=mation 9 su* ,/ate by su* p]son1 or 8 repres5tative1 :i* in=mation is us$ or dissem9at$ f a po9t outside ! ,/ate2 or 7,g7 bus9ess activities directly relat+ to su* p]son's pot5tial or actual pur*ase ( goods or s]vices )9 ! ,/ate if ! f9al decision to pur*ase is made outside ! ,/ate4 7c7 ,protection ( non-,sell]s ,a ,/ate may n impose or assess a sales1 use1 or simil> tax on a p]son or impose an obligation to collect or report any in=mation ) respect !reto1 unless su* p]son is ei!r a pur*as] or a sell] hav+ a physical pres5ce 9 ! ,/ate4 #c4 ,dispute resolution ,! di/rict c\rts ( ! ,unit$ ,/ates %all h orig9al jurisdiction ov] civil actions to en=ce ! provisions ( ?is ,act1 includ+ au?ority to issue decl>atory judgm5ts pursuant to section #bbja ( title #bh1 ,unit$ ,/ates ,code1 &1 not)/&+ ! provisions ( section #acda ( su* title1 injunctive relief1 z necess>y to c>ry out any provision ( ?is ,act4 #d4 ,def9itions & effective date 7a7 ,def9itions ,= purposes ( ?is ,act3 7#a7 ,m>ketplace provid] ,! t]m m>ketplace provid] includes any p]son1 o!r ?an a sell]1 :o facilitates a sale4 ,= purposes ( ?is subsection1 a p]son facilitates a sale :5 ! p]son bo?-- 7,a7 li/s or adv]tises products = sale 9 any =um1 includ+ a catalog or int]net website2 & 7,b7 ei!r directly or indirectly ?r\gh agreem5ts or arrangem5ts ) ?ird p>ties1 collects gross receipts f ! cu/om] & transmits ^? receipts to ! m>ketplace sell]1 :e!r or n su* p]son d$ucts any fees or o!r am\nts f ^? receipts prior to transf]r+ !m to ! m>ketplace sell]4 7#b7 ,m>ketplace sell] ,! t]m m>ketplace sell] means a p]son t has any sales facilitat$ by a m>ketplace provid]4 7#c7 ,p]son ,! t]m p]son has ! mean+ giv5 su* t]m by section #a ( title #a1 ,unit$ ,/ates ,code4 ,ea* corporation t is a memb] ( a gr\p ( affiliat$ corporations1 :e!r unit>y or n1 is itself a sep>ate p]son4 7#d7 ,product ,! t]m product includes any good or s]vice1 tangible or intangible4 7#e7 ,ref]r] ,! t]m ref]r] %all mean e p]son :o-- 7,a7 contracts or o!rwise agrees ) a sell] to li/ multiple products = sale & ! sales prices !re( 9 any =um1 includ+ a catalog or int]net website2 7,b7 receives a fee1 commission1 or o!r consid]ation f a sell] = ! li/+2 7,c7 transf]s1 via telephone1 int]net l9k1 or o!rwise1 a cu/om] to ! sell] or ! sell]'s website to complete a pur*ase2 & 7,d7 does n collect receipts f ! cu/om] = ! transaction4 7#f7 ,sell] ,! t]m sell] does n include-- 7,a7 any m>ketplace provid] 7except ) respect to ! sale ?r\gh ! m>ketplace ( products own$ by ! m>ketplace provid]72 7,b7 any ref]r]2 7,c7 any c>ri]1 9 :i* ! sell] does n h an own]%ip int]e/1 provid+ transportation or deliv]y s]vices ) respect to tangible p]sonal prop]ty2 & 7,d7 any cr$it c>d issu]1 transaction or bill+ processor1 or o!r f9ancial int]m$i>y4 7#g7 ,simil> tax ,! t]m simil> tax means a tax t is impos$ ) respect to ! sale or use ( a product1 reg>dless ( :e!r ! tax is impos$ on ! p]son mak+ ! sale or ! pur*as]1 ) ! "r or obligation ( ! p]son mak+ ! sale to obta9 reimbursem5t = ! am\nt ( ! tax f ! pur*as] at ! "t ( ! transaction4 7#h7 ,/ate ,! t]m ,/ate means ! sev]al ,/ates1 ! ,di/rict ( ,columbia1 ! ,commonweal? ( ,pu]to ,rico1 ,guam1 ,am]ican ,samoa1 ! ,unit$ ,/ates ,virg9 ,isl&s1 ! ,commonweal? ( ! ,nor!rn ,m>iana ,isl&s1 & any o!r t]ritory or possession ( ! ,unit$ ,/ates & includes any political subdivision !re(4 7b7 ,effective date ,?is ,act %all apply ) respect to cal5d> qu>t]s beg9n+ on or aft] ,augu/ #a1 #bjai4