Rep. Bill Delahunt (D-Mass.) last week introduced legislation requiring states to collect online sales taxes from Internet retailers. Online giants like eBay have pushed back against the bill, arguing it will stunt economic growth.
“At a time when unemployment rates are high and small businesses across the country are closing shop, we are confident that Congress will protect small Internet retailers and the consumers they serve from another Internet tax scheme,” said eBay Vice President for Government Relations Tod Cohen in prepared remarks.
The real estate group contends state leaders who are facing deficits should take a hard look at Delahunt’s bill and urged the congressman to include in his legislation a simplified model for complying with state sales taxes.“As a result, the Main Street Fairness Act would provide billions of dollars in funding to many state and local governments with minimal or no cost to the federal government, assisting these states and localities in providing vital support for essential services, including education, emergency preparedness, homeland security, health care, and transportation,” the group stated. “We urge ... Congress to adopt this important legislation without delay so that simple — and equitable — sales tax collection becomes a reality nationwide.”