Michigan – Affiliate Nexus/Amazon Law Bills Signed Into Law (Effective October 1, 2015)

Salt Report 3551–Michigan internet sales tax bills SB0658 and SB0659 were signed into law by Governor Rick Snyder on Thursday, January 15, 2015.

“We want a fair, level playing environment for people to be successful.  That’s the way it should be.” – Gov. Snyder

“We still need federal action to really get where we should be on this topic.” – Gov. Snyder

The bills (now Public Acts 533 and 544 of 2014) create the presumption that online sellers have nexus in the state of Michigan if the seller or its affiliates engage in or perform certain activities related to sales in the state of Michigan.  The bills take effect on October 1, 2015 and would apply to transactions occurring on the effective date.  For purposes of determining whether a company is engaged in business in the state of Michigan, the 12 months before the effective date will play a role in determining whether a seller was engaged in business agreements in the state of Michigan.

Further Information:

Michiganders will have to pay sales tax to online retailers like Amazon starting in October

Summary as Enrolled (Bills SB0658 and SB0659)