One of the changes to the sales and use tax landscape since the Wayfair decision, has been the sudden popularity of marketplace facilitator laws among states. Definitions vary among the states but generally, a marketplace facilitator is a business that sells third party goods and services on its platform by enabling listings, payments, and sometimes shipping - examples include Amazon, eBay, and Etsy. These laws allow the state to require marketplace facilitators to collect and remit taxes rather than having each of the third-party sellers collect, remit, and report on their own (or not at all).
There’s not a lot of conformity among the states in how these rules work and how they interact with other sales and use tax laws. Some states consider the marketplace facilitator as the seller of items sold through its platform, which may reduce your sales dollars and transaction count when looking at nexus for your other sales. Two other items to be aware of that are treated differently among states are the reporting requirements when selling through marketplace facilitators and if the state will include non-taxable sales when looking at your other nexus factors. These rules are changing fast and it’s important to be aware of the current laws in each state where you have sales.