Testimonies Show That Remote Sales Tax Collection is Far From Settled
The written testimonies from the participants (or witnesses in the Congressional jargon) at Tuesday’s hearing by the House Judiciary Committee on Examining the Wayfair decision and its Ramifications for Consumers and Small Businesses show some significant differences between the interested parties.
For some “light reading”, here are the written testimonies. This is followed by the video from the hearing.
Grover Norquist, President, Americans for Tax Reform
Chad White, Owner, Class-Tech-Cars, Inc.
Lary Sinewitz, Executive Vice President, BrandsMart on behalf of the National Retail Federation
Bartlett Cleland, General Counsel and Chief Strategy and Innovation Officer, American Legislative Exchange Council
The Honorable Curt Bramble, Past President, National Conference of State Legislatures
Andrew Moylan, Executive Vice President, National Taxpayers Union Foundation
Joseph Crosby, Principal, MultiState Associates Incorporated
Andrew Pincus, Partner, Mayer Brown
The written testimonies are often used by the lawmakers to ask questions of the witnesses. Here is the video of the hearing, so that brings additional context to the information.
Nothing is Settled and It Looks Like a Mess
One takeaway from all of this is that nothing is really settles. The states think they won, but they actually have no clear path forward without risking to be tangled up in court again.
Some states are taking a wait-and-see approach to consider what other states are doing and what new legislation by states may end up in court.
And then there is New Hampshire that is ready to pass legislation to protect its citizens and small businesses from sales tax enforcement by other states.
It’s pretty clear now that there will need to be more court cases, more judicial action at the High Court if Congress does not intervene first.
Besides some hearings, there doesn’t appear to be a lot of consensus among lawmakers on the best path forward either. And with mid-term elections looming, expect no action at the Congressional level until next year, if at all.
What are your thoughts on this sales tax mess? Please head over to our Global eCommerce Facebook Discussion Group or use the comments section below.