Marketplace facilitator
Also called marketplace provider
A marketplace facilitator is a platform that sells on behalf of third-party sellers and, under many states' rules, is responsible for collecting and remitting sales tax on those sales.[1],[2]
For a dealer, it means sales made through a large marketplace are often taxed by the platform rather than by you, while your direct sales remain your responsibility.
Confirm, platform by platform, which of your sales the marketplace collects tax on, so you don't collect it twice or miss it on direct sales.
Related terms
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Where this comes up
Pages on this site that use the term.
- Watch dealing in Georgia: what's confirmed, and what isn'tCompliance guide
- Watch dealing in Pennsylvania: precious metals, second-hand watches, and taxCompliance guide
- Watch dealing in Massachusetts: licensing, records, and taxCompliance guide
- Watch dealing in Ohio: the precious metals licence, records, and taxCompliance guide
- What's specific to ColumbusCompliance guide
- Watch dealing in New Jersey: licensing, records, and taxCompliance guide
Learn the trade, not just the word
Plain-English guides to buying, pricing and selling watches as a business. Free, and written to be used at the counter.
Sources
- Texas Comptroller — Marketplace Providers and Marketplace Sellers — retrieved 2026-09-21
- Arizona Department of Revenue - Frequently Asked Questions; Out-of-State Sellers (remote sellers and marketplace facilitators). Supports the Arizona guide's statement that marketplace facilitators over the threshold register and collect TPT on behalf of their sellers; so sales made THROUGH a large marketplace are generally the marketplace's TPT responsibility rather than the individual dealer's. The operative thresholds and the affiliated-party rule are quoted in full at AZ4; which is the Department's dedicated Economic Threshold page. NOTE: this FAQ URL was captured on 2026-09-20 and its Department path has since been reorganised; AZ4 is the durable citation for the threshold figures — retrieved 2026-09-23