Burns Ind. Code Ann. § 6-2.5-8-10
§ 6-2.5-8-10. Systematic soliciting of retail transactions
(a)
A person that:
(1)
makes retail transactions from outside Indiana to a destination in Indiana;
(2)
does not maintain a place of business in Indiana; and
(3)
either:
(A)
engages in the regular or systematic soliciting of retail transactions from potential customers in
Indiana;
(B)
enters into a contract to provide property or services to an agency (as defined in IC 4-13-2-1) or a
state educational institution (as defined in IC 20-12-0.5-1);
(C)
agrees to sell property or services to an agency (as defined in IC 4-13-2-1) or a state educational
institution (as defined in IC 20-12-0.5-1); or
(D)
is closely related to another person that maintains a place of business in Indiana or is described
in clause (A), (B), or (C);
shall file an application for a retail merchant's certificate under this chapter and collect and remit tax as
provided in this article. Conduct described in subdivision (3)(B) and (3)(C) occurring after June 30, 2003,
constitutes consent to be treated under this article as if the person has a place of business in Indiana or is
engaging in conduct described in subdivision(3)(A), including the provisions of this article that require a
person to collect and remit tax under this article.
(b)
A person is rebuttably presumed to be engaging in the regular or systematic soliciting of retail
transactions from potential customers in Indiana if the person does any of the following:
(1)
Distributes catalogs, periodicals, advertising flyers, or other written solicitations of business to
potential customers in Indiana, regardless of whether the distribution is by mail or otherwise and without
regard to the place from which the distribution originated or in which the materials were prepared.
(2)
Displays advertisements on billboards or displays other outdoor advertisements in Indiana.
(3)
Advertises in newspapers published in Indiana.
(4)
Advertises in trade journals or other periodicals that circulate primarily in Indiana.
(5)
Advertises in Indiana editions of a national or regional publication or a limited regional edition in
which Indiana is included as part of a broader regional or national publication if the advertisements are not
placed in other geographically defined editions of the same issue of the same publication.
(6)
Advertises in editions of regional or national publications that are not by the contents of the
editions geographically targeted to Indiana but that are sold over the counter in Indiana or by subscription
to Indiana residents.
(7)
Broadcasts on a radio or television station located in Indiana.
(8)
Makes any other solicitation by telegraphy, telephone, computer data base, cable, optic, microwave, or
other communication system.
(c)
A person not maintaining a place of business in Indiana is considered to be engaged in the regular or
systematic soliciting of retail transactions from potential customers in Indiana if the person engages in any
of the activities described in subsection (b) and:
(1)
makes at least one hundred (100) retail transactions from outside Indiana to destinations in Indiana
during a period of twelve (12) consecutive months; or
(2)
makes at least ten (10) retail transactions totaling more than one hundred thousand dollars ($ 100,000)
from outside Indiana to destinations in Indiana during a period of twelve (12) consecutive months.
(d)
Subject to subsection (e), the location in or outside Indiana of vendors that:
(1)
are independent of a person that is soliciting customers in Indiana; and
(2)
provide products or services to the person in connection with the person's solicitation of customers in
Indiana:
(A)
including products and services such as creation of copy, printing, distribution, and recording; but
(B)
excluding:
(ii)
billing or invoicing for the sale of goods;
(iii)
providing repairs of goods;
(iv)
assembling or setting up goods for use by the purchaser; or
(v)
accepting returns of unwanted or damaged goods;
is not to be taken into account in the determination of whether the person is required to collect use tax
under this section.
(e)
Subsection (d) does not apply if the person soliciting orders is closely related to the vendor.
(f)
For purposes of subsections (a) and (e), a person is closely related to another person if:
(1)
the two (2) persons:
(A)
use an identical or a substantially similar name, trademark, or good will to develop, promote, or
maintain sales;
(B)
pay for each other's services in whole or in part contingent on the volume or value of sales; or
(C)
share a common business plan or substantially coordinate their business plans; and
(2)
either:
(A)
one (1) or both of the persons are corporations and:
(ii)
any other person related to the person in a manner that would require an attribution of stock
from the corporation to the person or from the person to the corporation under the attribution rules of
Section 318 of the Internal Revenue Code;
own directly, indirectly, beneficially, or constructively at least fifty percent (50%) of the value of the
corporation's outstanding stock;
(B)
both entities are corporations and an individual stockholder and the members of the stockholder's
family (as defined in Section 318 of the Internal Revenue Code) own directly, indirectly, beneficially, or
constructively a total of at least fifty percent (50%) of the value of both entities' outstanding stock; or
(C)
one (1) or both persons are limited liability companies, partnerships, limited liability
partnerships, estates, or trusts, and their members, partners, or beneficiaries own directly, indirectly,
beneficially, or constructively a total of at least fifty percent (50%) of the profits, capital, stock, or
value of one (1) or both persons.
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