Understanding Puerto Rico’s Marketplace Facilitator Sales Tax Law: A Comprehensive Guide

• Puerto Rico’s marketplace facilitator law requires online marketplaces like Amazon to collect sales tax on behalf of sellers
• Amazon has been collecting sales tax on behalf of 3rd party sellers selling into Puerto Rico since April 1, 2018
• The law took effect retroactively on January 1, 2020
• Marketplace facilitators are defined as entities that facilitate sales on online platforms like Amazon and eBay
• Sellers who only sell on online marketplaces may not be required to collect sales tax, but still need to file periodic sales tax returns
• Sellers who sell on multiple platforms still need to collect sales tax from buyers on their own online store and brick and mortar store

Source: taxjar.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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