Senate Bill 100 Summary

• Expands definition of "retail merchant engaged in business in Indiana" to include merchants who arrange with third parties (other than common carriers) to allow customers to pick up purchased property at locations in Indiana.

• Requires retail merchants to have either physical presence in Indiana or conduct activities significantly associated with establishing and maintaining a market in Indiana before collecting sales and use taxes.

• Establishes presumption that a retail merchant is engaged in business in Indiana if an affiliate has substantial nexus in Indiana and certain conditions are met, such as selling similar products under the same or similar business name.

• Creates presumption that a retail merchant is engaged in business in Indiana if cumulative gross receipts from Indiana customers referred by resident affiliates exceed $10,000 during the preceding 12 months, with ability to rebut this presumption.

• Takes effect July 1, 2012.