Strong support for Marketplace Fairness Act from retail and other groups

February 20, 2013

The Marketplace Fairness Act of 2013, which was introduced last Thursday, is already receiving strong support from retail and other groups. Those issuing statements about the legislation include:

Why the strong show of support for the Marketplace Fairness Act? Primarily, these groups say, in order to level the playing field for local businesses. As the American Independent Business Alliance put it in a letter to the senators who introduced the bill, “We ask you to push this bill through to help level the playing field for the many small businesses we represent who are hobbled by the status quo. When remote retailers are effectively subsidized by being exempted from sales tax collection duties imposed on storefront businesses, government is obstructing genuine market competition.”


MA Senator Richard Moore: Any extension of tax cuts should include the provisions of the “Main Street Fairness Act

November 23, 2010

Politico.com published a blog post today by Massachusetts State Senator Richard Moore which gave a ringing endorsement for the Main Street Fairness Act, and which advocates for including provisions of the Act in any extension of tax cuts (generally referring to the extension of the so-called Bush Tax Cuts).
The post closes with the following sobering assessment: The national recession is still threatening America at the state and local level. Without the benefits of H.R. 5660, states will be forced to lay off more teachers, public safety personnel and others in the next two or three years and reduce state and local purchases of private sector services. The resulting increase in unemployment and decrease in state and local government purchases of goods and service could harm the recovery and even lead to a “double-dip” recession.”


Chicago Tribune Article Gets it Right

November 10, 2010

Yesterday’s article in the Chicago Tribune by Columnist Eric Zorn covers all the issues related to sales tax collection by internet merchants.  The article starts by highlighting a local retailer who has been steadily losing business on price to internet retailers.  Mr. Zorn goes on to explain the finer points of use tax reporting and remittance (even helpfully including links to the tax forms that need to be completed for out-of-state sales), and goes on to say that use tax collection “…has a low compliance rate…[f]ewer than 5,000 taxpayers filed ST-44s in fiscal 2010, according to the revenue department, leaving an estimated $163 million in online Illinois sales taxes unpaid.”

The article wraps up with a discussion of why Internet companies have escaped sales tax collection thus far (Quill and Bellas Hess Supreme Court decisions) and why that view is outdated: “It wasn’t a particularly urgent question when the Web was young and e-tailers argued successfully that taxing Internet purchases would strangle the baby of e-commerce in its crib.  But now that e-commerce is an obstreperous adolescent, conventional small businesses are gasping for air and cash-strapped states are eyeing all this lost revenue hungrily.”

Good points, great article, thanks Mr. Zorn.