United States of America: Adoption of Florida Senate Bill 50

Senate Bill 50 is adopted by the Florida Parliament. The Bill expands the definition of "retail use" to include remote sales factilitated by marketplaces, introducing the obligation for providers with no physical presence in the State to collect sales taxes. A threshold of $100'000 in annual sales in Florida applies, while the number of transactions shall be irrelevant. Under the Bill, marketplace providers are obligated to collect and remit sales taxes on behalf of the marketplace seller, except for specific circumstances. The Bill enters into force on 1 July 2021. As of 1 April 2022, a marketplace seller and a marketplace provider may contractually agree that the seller collects and remits the sale taxes instead of the provider. For this to be possible, a seller (1) must have an annually US wide revenue of at least $1 billion, (2) provide evidence to the provider that they are registered in Florida, and (3) notify the Department of Revenue about the handling of taxes. As of 1 April 2022 a marketplace provider shall further collect the lead-acid battery, the waste tire, and the “E911" fees.