(A) IN
GENERAL.—The term ‘‘seller’’ 
means a person making sales of digital goods or 
digital services. 
(B) EXCEPTIONS.—A person that provides 
billing service or electronic delivery or transport 
service on behalf of another unrelated or unaf-
filiated person, with respect to the other per-
son’s sale of a digital good or digital service, 
shall not be treated as a seller of that digital 
good or digital service. 
(C) RULE OF CONSTRUCTION.—Nothing in 
this paragraph shall preclude the person pro-
viding the billing service or electronic delivery 
or transport service from entering into a con-
tract with the seller to assume the tax collection 
and remittance responsibilities of the seller. 
(12) 
SEPARATE
AND
DISCRETE
TRANS-
ACTION.—The term ‘‘separate and discrete trans-
action’’ means a sale of a digital good, digital code, 
or a digital service sold in a single transaction which 
does not involve any additional charges or continued 
payment in order to maintain possession of the dig-
ital good or access to the digital service. 
(13) STATE
OR
LOCAL
JURISDICTION.—The 
term ‘‘State or local jurisdiction’’ means any of the 
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several States, the District of Columbia, any terri-
tory or possession of the United States, a political 
subdivision of any State, territory, or possession, or 
any governmental entity or person acting on behalf 
of such State, territory, possession, or subdivision 
and with the authority to assess, impose, levy, or 
collect taxes. 
(14) TAX.— 
(A) IN GENERAL.—The term ‘‘tax’’ means 
any charge imposed by any State or local juris-
diction for the purpose of generating revenues 
for governmental purposes, including any tax, 
charge, or fee levied as a fixed charge or meas-
ured by gross amounts charged, regardless of 
whether such tax, charge, or fee is imposed on 
the seller or the customer and regardless of the 
terminology used to describe the tax, charge, or 
fee. 
(B) EXCLUSIONS.—The term ‘‘tax’’ does 
not include an ad valorem tax, a tax on or 
measured by capital, a tax on or measured by 
net income, apportioned gross income, appor-
tioned revenue, apportioned taxable margin, or 
apportioned gross receipts, or, a State or local 
jurisdiction business and occupation tax im-
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posed on a broad range of business activity in 
a State that enacted a State tax on gross re-
ceipts after January 1, 1932, and before Janu-
ary 1, 1936. 
SEC. 8. EFFECTIVE DATE; APPLICATION. 
(a) GENERAL RULE.—This Act shall take effect 60 
days after the date of enactment of this Act. 
(b) EXCEPTIONS.—A State or local jurisdiction shall 
have 2 years from the date of enactment of this Act to 
modify any State or local tax statue enacted prior to date 
of enactment of this Act to conform to the provisions set 
forth in sections 4 and 5 of this Act. 
(c) APPLICATION
TO LIABILITIES
AND PENDING 
CASES.—Nothing in this Act shall affect liability for taxes 
accrued and enforced before the effective date of this Act, 
or affect ongoing litigation relating to such taxes. 
SEC. 9. SAVINGS PROVISION. 
If any provision or part of this Act is held to be in-
valid or unenforceable by a court of competent jurisdiction 
for any reason, such holding shall not affect the validity 
or enforceability of any other provision or part of this Act. 
Æ 
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