Speaking at Consumer Report’s ShopSmart Shopping Summit, Jeff Bezos, CEO of Amazon.com (NASDAQ: AMZN), spoke out in support of federal online sales tax legislation:
Our point of view on this is that we should simplify the sales tax system, and we’ve been consistent on this for probably ten years—it’s called the Streamlined Sales Tax initiative, I think 22 or 23 states have signed on to it. Because the right place to fix this is with federal legislation. That’s where it can be fixed properly. The sales tax collection is very complicated, and you know, we’re no different from, you know, big chains of retailers – they don’t collect sales tax in states where they don’t have nexus, either. (emphasis added)
The complete video of his statements is available here.
Although he doesn’t mention it by name, the Main Street Fairness Act is the federal legislation Mr. Bezos wants to see enacted. It would allow states that have complied with the simplification procedures of the Streamlined Sales and Use Tax Agreement to require online retailers to collect sales tax.
We’re thrilled to see Mr. Bezos and Amazon.com publicly acknowledge the need for the Main Street Fairness Act, and we hope Congress is listening.