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House panel to explore Internet sales tax
The Hill ^ | 1/11/14 | Kate Tummarello

Posted on 01/12/2014 10:41:38 AM PST by Libloather

House Judiciary Committee Bob Goodlatte plans to hold a hearing in the first half of the year to explore online sales tax legislation, advocates say.

Proponents of an Internet sales tax bill, such as major retailers, are holding out hope for action in the House in 2014 despite the opposition of many conservatives and the skeptical stance of Speaker John Boehner (R-Ohio).

Supporters and opponents of online sales tax proposals are focusing their lobbying energy on Goodlatte (R-Va.), who has released a set of seven principles that an online sales tax bill would have to meet in order to be considered by his committee

"House Judiciary has a busy schedule," but Goodlatte has plans to hold a hearing on Internet sales taxes in the first half of the year, according to Steve DelBianco, executive director of NetChoice, which represents Facebook, Yahoo and online sales tax critic eBay.

Goodlatte "wants to hear legislative concepts that would fit his principles," DelBianco said.

A Judiciary aide declined to comment on whether the committee has plans for a hearing. The committee is "not actively drafting legislation at this time" but continues "to welcome ideas consistent with those principles from interested parties," the aide said.

Few people involved in the push expect the chairman to move quickly on a bill, especially now that he is being tasked with leading a legislative push on immigration reform.

Still, lobbyists are optimistic that the chairman can craft a bill with broad support.

The fight over an online sales tax bill shifted to the House last summer after the Senate passed the Marketplace Fairness Act, which would allow states to collect sales tax on purchases that citizens make from out-of-state online retailers.

Currently, state sales tax is technically due for all purchases, but states only have the authority to collect sales tax on purchases that citizens make from retailers with a physical presence in each state.

Supporters say the bill would even the playing field between online retailers and brick-and-mortar stores. Opponents argue it would create mass confusion as online retailers are forced to navigate tax rates and rules for nearly 10,000 state and local tax jurisdictions.

Goodlatte has said that he wants to consider the issue carefully.

His “principals” specified that an online sales tax bill should not create a new or discriminatory tax, should not create greater burdens for online retailers than brick-and-mortar stores and should give online retailers "direct recourse" to challenge taxes an compliance burdens.

Additionally, an online sales tax bill should be simple enough for small businesses to easily follow, should encourage states to compete on tax structures, should respect state sovereignty and should protect customer privacy, he said.

Goodlatte has "made clear the kind of bill he’s looking to do" and is "rethinking how to assemble these pieces," said David French, senior vice president for government relations at the National Retail Federation, which backed the Marketplace Fairness Act.

DelBianco said he’s confident that Goodlatte will come through with a bill that limits compliance burdens for online retailers, but believes the chairman will have to jettison much of the Marketplace Fairness Act in the process.

"It’s not a trivial matter to amend [the Marketplace Fairness Act] to have it fit with those principles," he said, pointing to the bill’s provision that would require online retailers to answer to the nearly 10,000 state and local tax jurisdictions.

DelBianco suggested that provision could be replaced with voluntary agreements where each state would audit online retailers within its borders and remit the appropriate sales tax to the customers’ home states.

That’s a concept that Goodlatte has indicated he "thinks is worth exploring," DelBianco said.

French is optimistic that the differing opinions on compliance burdens can be solved.

In a letter to Goodlatte last week, a coalition of retail companies and groups — including French’s — said it is ready to help translate Goodlatte’s "seven guiding principles into legislation that will provide meaningful simplifications for remote sellers and create a level playing field for all retailers.".


TOPICS: Crime/Corruption; Extended News; Government; News/Current Events
KEYWORDS: goodlatte; house; internet; internetsalestax; sales; taxes
Leftists love taxes. Hit their websites the hardest.
1 posted on 01/12/2014 10:41:39 AM PST by Libloather
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To: Libloather

The Economy would sure like more taxes.


2 posted on 01/12/2014 10:44:37 AM PST by Paladin2
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To: Libloather

Yeah, ruin the one part of the economy that’s doing well.


3 posted on 01/12/2014 10:45:46 AM PST by 2ndDivisionVet (Jealousy is when you count someone else's blessings instead of your own.)
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To: Libloather

GOP loves them too and always frames them as “complex” issues that need to “meet certain conditions” for approval. Think Mike Enzi.


4 posted on 01/12/2014 10:45:57 AM PST by Luke21
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To: Libloather

Hang on. A Federal sales tax?

Does the federal government have any Constitutional power to tax sales?


5 posted on 01/12/2014 10:47:55 AM PST by GeronL (Extra Large Cheesy Over-Stuffed Hobbit)
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To: Libloather
Goodlatte "wants to hear legislative concepts that would fit his principles," DelBianco said.

he doesn't have any

6 posted on 01/12/2014 10:48:32 AM PST by GeronL (Extra Large Cheesy Over-Stuffed Hobbit)
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To: Libloather

To be expected from a looter government.


7 posted on 01/12/2014 10:48:42 AM PST by Gabrial (The nightmare will continue as long as the nightmare is in the Whitehouse.)
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To: Libloather
"Following are the seven principles the Judiciary Committee released today:

Tax relief –Using the Internet should not create new or discriminatory taxes not faced in the offline world. Nor should any fresh precedent be created for other areas of interstate taxation by states.

Tech neutrality – Bricks-and-mortar, exclusively online, and bricks-and-click businesses should all be on equal footing. The sales tax compliance burden on online Internet sellers should not be less, but neither should it be greater than that on similarly situated offline businesses.

No regulation without representation – Those who would bear state taxation, regulation and compliance burdens should have direct recourse to protest unfair, unwise or discriminatory rates and enforcement.

Simplicity – Governments should not stifle businesses by shifting onerous compliance requirements onto them; laws should be so simple and compliance so inexpensive and reliable as to render a small business exemption unnecessary.

Tax competition – Governments should be encouraged to compete with one another to keep tax rates low and American businesses should not be disadvantaged vis-a-vis their foreign competitors.

States’ rights – States should be sovereign within their physical boundaries. In addition, the federal government should not mandate that States impose any sales tax compliance burdens.

Privacy rights –Sensitive customer data must be protected."

8 posted on 01/12/2014 10:49:38 AM PST by Paladin2
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To: Libloather

No!


9 posted on 01/12/2014 10:54:41 AM PST by Salvation ("With God all things are possible." Matthew 19:26)
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To: Libloather

10 posted on 01/12/2014 10:55:55 AM PST by Bratch
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To: Libloather

Leftists and politicians (same people?) think on-line shopping is fueled by the avoidance of the costs of Sales Taxes.
WRONG!! It is fueled by the avoidance of the high costs for gas to get to the increasingly decrepit malls. It is the avoidance of limited selection, no-nothing sales people, the costs of parking, wear and tear on the car, the time wasted driving to go shopping, surly and dangerous teen ferals who infest shopping areas as they destroy them.
On line, one shops in one’s own living room (or den), cup of coffee at hand, the TV showing whatever trash is on, comfortably warm in this Arctic blast, listening with one ear in case the baby wakes up, and knowing you will be home SAFE from the danger we read about almost every day.
The customer shops, clicks “ENTER” and in a couple of days of less, this nice delivery guy shows up with the purchases.


11 posted on 01/12/2014 10:56:53 AM PST by CaptainAmiigaf (NY TIMES: We print the news as it fits our views.)
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To: Libloather

Taking yet another bazooka blast at our economy and another incentive for businesses to shut down.


12 posted on 01/12/2014 11:00:24 AM PST by CorporateStepsister (I am NOT going to force a man to make my dreams come true)
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To: Libloather

Here we go again. Yet another Republican accepting the Left’s premise and introducing his own garbage, all under the guise of bipartisanship and to remain in good standing on the D.C. cocktail circuit.


13 posted on 01/12/2014 11:04:12 AM PST by Extremely Extreme Extremist (15 years of FReeping! Congratulations EEE!!)
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To: Libloather

That happens and I won’t purchase a dang thing off the net.


14 posted on 01/12/2014 11:08:07 AM PST by Irenic (The pencil sharpener and Elmer's glue is put away-- we've lost the red wheel barrow)
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To: Libloather

It’s interesting to consider the ramifications to changes in online taxing of retail transactions.

My initial reaction is I want to promote local commerce. I don’t trust online transactions. I prefer to pay cash. Why should I pay more taxes or, more importantly, discourage local commerce by supporting tax policies that unfairly burdens local businesses? I wish to keep my and their money here to the extent possible.

Meanwhile, online transactions, in my old man mind, are inherently less safe than those made face-to-face with relatively untraceable currency.


15 posted on 01/12/2014 11:08:13 AM PST by be-baw (still seeking)
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To: Libloather

House Judiciary Committee Bob Goodlatte is getting comfortable in his leftist RINO skin lately, isn’t he?


16 posted on 01/12/2014 11:10:01 AM PST by jospehm20
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To: Libloather
Keep your goddamned thieving hands out of the American peoples pocket Goodlatte.

These crooks need to be slapped down hard.

17 posted on 01/12/2014 11:14:05 AM PST by Rome2000 (THE WASHINGTONIANS AND UNIVERSAL SUFFRAGE ARE THE ENEMY -ROTATE THE CAPITAL AMONGST THE STATES)
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To: CaptainAmiigaf

Superb post! So spot on.


18 posted on 01/12/2014 11:19:00 AM PST by LostInBayport (When there are more people riding in the cart than there are pulling it, the cart stops moving...)
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To: Libloather

The imposition of a consumption (sales) tax, without repeal of the income tax should be a clarion call to patriots of every stripe.
This is tyranny, to accompany the tyranny that has been the 0bama administration since day one.


19 posted on 01/12/2014 11:24:01 AM PST by PubliusMM (RKBA; a matter of fact, not opinion. 01-20-2016; I pray we make it that long.)
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To: CaptainAmiigaf

Bravo!!


20 posted on 01/12/2014 12:10:00 PM PST by kdot
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To: Paladin2
Jobs bring in tax money. Wonder how much we lost via the stupid owl, the dumb frog, the pipeline, in the coal industry, fracking in NYS...

Obama just keeps closing the doors....and the Dems hear and obey...

The Republicans better win big in the next elections. We need it all...the House, the Senate and the Whitehouse.

21 posted on 01/12/2014 12:16:51 PM PST by Sacajaweau
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To: Libloather
Leftists love taxes. Hit their websites the hardest

Facebook paid nothing in taxes in 2012 despite making record profits.

http://www.foxnews.com/tech/2013/02/16/facebook-paid-no-taxes-despite-record-profits/

22 posted on 01/12/2014 12:47:38 PM PST by Wiggins
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To: Libloather

It sounds as though the commie “progs” think BIG government STILL isn’t BIG enough.


23 posted on 01/12/2014 1:07:59 PM PST by FlingWingFlyer (Where are Holder's "po folks" getting the I.D.s to sign up for ObamaCare?)
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To: CaptainAmiigaf
Leftists and politicians (same people?) think on-line shopping is fueled by the avoidance of the costs of Sales Taxes.

Amazon Prime.

24 posted on 01/12/2014 1:25:37 PM PST by itsahoot (It is not so much that history repeats, but that human nature does not change.)
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To: Sacajaweau

With Republicans like Goodlatte, who cares if we win?


25 posted on 01/12/2014 2:06:56 PM PST by Luke21
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To: GeronL

“Does the federal government have any Constitutional power to tax sales?”

Since when has that stopped the uniparty?


26 posted on 01/12/2014 3:05:11 PM PST by RKBA Democrat (Having some small say in who gets to hold the whip doesn't make you any less a slave.)
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To: Paladin2
The following are the seven principles the uniparty released today:

1. Screw small business.

2. Screw the middle class.

3. Increase taxes

4. Increase spending.

5. Line our pockets.

6. Steer funds to our cronies.

7. Destroy conservatives.

27 posted on 01/12/2014 3:11:05 PM PST by RKBA Democrat (Having some small say in who gets to hold the whip doesn't make you any less a slave.)
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To: CorporateStepsister

“Taking yet another bazooka blast at our economy and another incentive for businesses to shut down.”

The uniparty is nothing if not consistent.


28 posted on 01/12/2014 3:12:18 PM PST by RKBA Democrat (Having some small say in who gets to hold the whip doesn't make you any less a slave.)
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To: Sacajaweau

“The Republicans better win big in the next elections. We need it all...the House, the Senate and the Whitehouse.”

Why? This is a republican proposing this.


29 posted on 01/12/2014 3:13:53 PM PST by RKBA Democrat (Having some small say in who gets to hold the whip doesn't make you any less a slave.)
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To: Sacajaweau

“The Republicans better win big in the next elections. We need it all...the House, the Senate and the Whitehouse.”

Why? This is a republican proposing this.


30 posted on 01/12/2014 3:14:04 PM PST by RKBA Democrat (Having some small say in who gets to hold the whip doesn't make you any less a slave.)
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To: RKBA Democrat

Its driving both parties crazy. They all salivate at the thought of all that money they could be collecting. More free money to waste on senseless programs and well a little lining of the pockets as well.


31 posted on 01/12/2014 3:53:17 PM PST by Georgia Girl 2 (The only purpose of a pistol is to fight your way back to the rifle you should never have dropped.)
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To: RKBA Democrat

Shoppers on Ebay will go nuts if there is a sales tax on items; not just those anonymous sellers, but family members of our politicians will end up going nuts on the politico family members over something like this. A sales tax for Ebay sellers will cause a lot of unpleasant dinners for politicians among their family who buy online as well.


32 posted on 01/12/2014 9:45:24 PM PST by CorporateStepsister (I am NOT going to force a man to make my dreams come true)
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