DMA Takes Issue With Marketplace Fairness Act

Says it Would Compel Online Retailers to Become Unpaid Tax Collectors
By: John Eggerton Mar 19 2013 - 2:01pm
Says it Would Compel Online Retailers to Become Unpaid Tax Collectors
The Direct Marketing Association says a proposed Senate amendment to the 2014 Federal Budget would "conscript American businesses with no presence in a state and force them to become the unpaid tax collectors for that state."

The DMA is opposed to the Marketplace Fairness Act, which imposes an Internet sales tax collection obligation on businesses DMA says should not be part of the Federal Budget.

The Act would allow states that had simplified their own sales tax laws to require online retailers to collect sales tax at the time of a the transaction.

"The Senate should not take this dubious road without full consideration," said Jerry Cerasale, DMA's senior vice president of government affairs, in a statement.  "State sales taxes are a morass of complicated definitions, rates, thresholds, tax holidays, filing procedures, registration procedures, etc.  Endorsing throwing ecommerce into that briar patch without full consideration is wrong and should be avoided."