Marketplace Facilitators and Sellers

General Information

Note: For additional information about sales and use taxes, see Pub 25, Sales and Use Tax General Information.

As of October 1, 2019, marketplace facilitators that have Utah nexus for their facilitated sales must have a Utah sales tax license and collect, report and pay sales tax on facilitated sales.

A marketplace facilitator can have nexus on its own direct sales, on sales it facilitates, or both. Therefore, facilitators must determine nexus separately for their direct sales and their facilitated sales.

Marketplace sellers do not need to have a Utah sales tax license for facilitated sales unless they have Utah nexus. A marketplace seller with a Utah sales tax license must file sales tax returns but does not report sales made through a marketplace. Marketplace sellers are not liable for taxes a facilitator is required to collect.

A buyer who is charged incorrect sales tax by a marketplace facilitator must seek a refund from the marketplace facilitator.



A physical or electronic place, platform or forum where products (tangible personal property, products transferred electronically or services) are offered for sale. Examples include booths, websites, catalogs and dedicated sales software applications.

Marketplace Facilitator

A person or an affiliate who is paid by sellers to facilitate sales of the seller’s products (tangible personal property, products transferred electronically or services) through a marketplace the person or affiliate owns. A marketplace facilitator does not include a person who only provides payment processing services or, as of July 1, 2020, facilitates sales for restaurants.

Marketplace facilitators are considered the seller of goods and services they facilitate and must charge and pay sales tax, file returns and respond to audits.

Marketplace Seller

A seller that sells products through a marketplace, regardless of whether the seller is licensed in Utah.