Congressional Hearing on Sales Tax Feb 4, 2010
03 Feb 2010
The US Congress Judiciary Committe will hold hearings on Fe. 4 2010 concerting the role of Congress in defining the role of Defining Nexus. Here is the link to the Committee http://judiciary.house.gov/hearings/hear_100204.html As an online retailer, I urge other sellers to write to the parties involved an express your views.
~ The ‘Amazon Tax’ law imposed by the State of New York is unconstitutional, and violates States Rights. The definition of nexus in that law is an invention, not reality.
~ If the Streamlined Tax folks had their way, businesses would be forced to collect and remit sales tax from over 8,000 tax districts which are not defined by zip code. How would YOU like to file quarterly tax reports for 45 States, be subject to tax audits, and need to be knowledgeable for what is eligable for Sales Tax and what is not?
~ Small business cannot afford to do the paperwork, either by hiring extra staff, soliciting a 3p provider, or cover the extra costs involved. This is legislation that will put small business out of business.
~ States have existing laws on the books to collect Sales Tax now It’s called Use Tax. Make that mandatory, rather than voluntary as it is now.
~ Incorporate the Merchant Accounts (Visa, MC, PayPal) to collect Use Tax and remit directly to the States. States would pay the related fees, get instant funds, and it would reduce paperwork for all involved.
Lastly, GET INVOLVED. We as a country need to let our legislators know that proposed law is too much of a burden on small business.