OH HB232

Establishes new criteria for determining when sellers are presumed to have substantial nexus with Ohio and must register to collect use tax, including maintaining a business facility, using employees or agents in the state, making regular deliveries, or having affiliate relationships with nexus.

Allows sellers presumed to have substantial nexus to rebut that presumption by demonstrating that activities conducted on their behalf in Ohio are not significantly associated with establishing or maintaining a market in the state.

Adds an affiliate nexus provision establishing presumed substantial nexus when a seller has an agreement with Ohio residents who refer customers for commission, provided cumulative referral sales exceeded $10,000 in the preceding twelve months, with a rebuttal option using sworn statements.

Requires sellers without substantial nexus with Ohio and their affiliated persons to register with the tax commissioner before entering into contracts to sell goods to state agencies.

Effective for storage, use, or consumption of tangible personal property or services occurring on and after July 1, 2015.