Current through all regulations passed and filed through September 16, 2024
(A)
(1) Any
time after the effective date of Ohio's membership in the streamlined sales tax
system, any vendor or seller that wishes to register to collect and remit Ohio
tax may register through a multi-state central registration system provided by
the governing board of the streamlined sales tax system. As used in this rule,
that central registration system is the "CRS." By registering through the CRS,
the vendor or seller agrees to collect and remit tax on all taxable sales into
Ohio and is subject to all applicable penalties, additional charges, and
interest for failing to timely and properly remit the taxes or file the tax
returns.
(2) A vendor's or seller's
registration through the CRS will not be used by the tax commissioner as a
factor, in and of itself, to determine whether the vendor or seller has nexus
with this state for any tax.
(B)
(1)
When registering through the CRS, the vendor or seller may select one of the
following models to remit taxes collected:
(a)
Model 1, where the vendor or seller selects a "certified service provider" as
that term is defined in division (C) of section
5740.01 of the Revised Code, as
an agent to perform all the vendor's or seller's sales or use tax functions,
other than the vendor's or seller's obligation to remit tax on its own
purchases.
(b) Model 2, where a
vendor or seller selects a "certified automated system" as that term is defined
in division (B) of section
5740.01 of the Revised Code, to
use to calculate the amount of tax due on its sales transactions.
(c) Model 3, where a vendor or seller
utilizes its own proprietary automated sales and use tax system that has been
certified as a certified automated system.
(2) Any vendor or seller that does not use
one of the three models of remitting tax provided in paragraphs (B)(1)(a) to
(B)(1)(c) of this rule
will collect and remit tax as required in Chapter
5739. or 5741. of the Revised Code.
(C)
(1) Any
vendor or seller registering through the CRS may be registered by an agent. The
appointment of an agent for this purpose
need be in
writing and submitted to this state if requested.
(2) A request by an agent of the vendor or
seller for tax return information
need be made using a form prescribed for such
purposes, e.g., form TBOR-1, declaration of tax representative or a form
approved by the governing board for such purpose.
(D) Subject to paragraphs (E) to (H) of this
rule, any vendor or seller that registers through the CRS to collect and remit
Ohio's sales or use tax on sales made into Ohio will not be assessed or held
liable for its failure to collect tax on sales made into Ohio prior to its
registration, provided the following conditions are met:
(1) The vendor or seller
will
register to collect this state's tax on or after the date on which Ohio first
becomes either a full or associate member of the streamlined sales tax system
and not later than twelve months after the effective date of Ohio's
participation as a full member of the streamlined sales tax system.
(2) The vendor or seller was not registered
to collect Ohio's sales or use tax on sales made into Ohio at any time in the
twelve-month period preceding the date of registration or the effective date of
Ohio's participation in the streamlined sales tax system, whichever is
earlier.
(3) Prior to the date of
registration, the vendor or seller has not received notice of the commencement
of an audit that has not been finally resolved.
(E) Paragraph (D) of this rule does not apply
to any vendor or seller that has already paid or remitted sales or use taxes to
Ohio and does not apply to any Ohio sales or use taxes that were collected by
the vendor or seller and not remitted to Ohio or were assessed by the tax
commissioner and not paid by the vendor or seller.
(F) Absent fraud or intentional
misrepresentation of a material fact, paragraph (D) of this rule is effective
for any vendor or seller as long as the vendor or seller continues its
registration with Ohio and continues to collect and remit sales or use taxes on
its taxable sales into Ohio for a period of at least thirty-six months. Any
vendor or seller that ceases registration or collection and remittance of the
tax before the end of such thirty-six month period will be deemed to have
waived the application of the statute of limitations for any liability that
would have been subject to assessment on the day of its registration with Ohio
had the vendor or seller not received the benefit provided by paragraph (D) of
this rule. The tax commissioner may require the vendor or seller to put this
waiver in writing. Unless mutually agreed to for another term, the waiver
will be
until the end of one hundred eighty days following the cancellation of the
vendor's or seller's registration or following the failure of the vendor or
seller to remit taxes to Ohio as required by applicable law or rule of the
commissioner.
(G) Paragraph (D) of
this rule applies only to sales or use tax liability due from a vendor or
seller in its capacity as a vendor or seller and not to taxes due from the
vendor or seller in its capacity as a consumer.
(H) Paragraph (D) of this rule does not apply
to a vendor or seller whose failure to collect and remit Ohio's sales or use
tax is due to fraud or intentional misrepresentation of a material fact. A
vendor's failure
will be rebuttably presumed to be due to such
cause if the vendor has a fixed location in Ohio and
needs to
be licensed under Chapter 5739. of the Revised Code.
