Printed from http://www.electronista.com

Marketplace Fairness Act enforcing Internet sales tax passed by Senate

updated 11:54 pm EDT, Mon April 22, 2013

Bill requires businesses with $1 million annual sales to collect sales tax

The US Senate voted to move the online sales tax bill forward. The bill, known as the "Marketplace Fairness Act," will mandate collection of sales tax for purchases even across state lines by companies having annual online sales of more than $1 million per year. The bill was passed by a 74-20 margin, greatly exceeding the 60 votes is needed for cloture.

"We've had a lot of innovation in the online space, but federal laws have failed to keep pace," remarked bill supporter Sen. Mark Udall (D-CO). "Today, nearly one in ten sales occur online, it just makes common sense ... the Marketplace Fairness Act is about equitable treatment for all sales."

Opponents of the bill call it a gateway for future Internet regulation. Additionally, the $1 million threshold for tax collection is seen by those wanting to stop the bill as too low, and contrary to existing federal regulations which sets the definition of "small businesses" at sales equal or less than $30 million dollars per year.

Proponents have called it a bill to even the scales for all companies from a sales standpoint, both those with heavy Internet presences, and those without. Additionally, the bill is expected to boost state sales tax income, should the measure become law. If the bill reaches the White House, President Obama is expected to sign it into law.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

  1. kerryb

    Fresh-Faced Recruit

    Joined: 08-05-01

    $30 million and under in sales is considered a small business?

  1. prl99

    Dedicated MacNNer

    Joined: 03-24-09

    My question is why the state I live in should receive sales tax on a product I bought in another state. It's ironic Senate republicans passed a new "tax." I just wish they would pass laws on background checks for gun purchases, something 92% of Americans really want and something that wouldn't cost taxpayers much money.

  1. Eldernorm

    Fresh-Faced Recruit

    Joined: 09-26-07

    kerry, sales is based upon the selling price. And yes $10 million (per the bill) is really way to low.

    I also have to wonder how they figure what tax to collect as most states figure tax by county so the numbers are all over the place. Hey, I wonder if ebay can sell me the hard drive for 1Cent and add $99 for shipping and handling?????

  1. mgpalma

    Fresh-Faced Recruit

    Joined: 09-27-00

    And as always raising taxes, ont the consumers, will further boost the economy...by reducing consumption ;)

    mind-boggling...term limits much

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

IDrive cloud backup and sync service

There are a lot of cloud services out there, and nearly all of them can be used for backing up key files and folders. A few dedicated ...

Asus Chromebook C300

When Chromebooks hit the market back in 2011, consumers didn't know what to do with them. The low-cost laptops, powered by Google's Ch ...

Plantronics BackBeat Pro Bluetooth headphones

Looking for a pair of headphones that can do everything a user requires is a task that can take some study. Trying to decide on in-ear ...

Sponsor

toggle

Most Commented

 
toggle

Popular News