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Governors' Council Letter in Support of the Remote Transactions Parity Act

“As former Governors, we write to express our support for your legislation, the Remote Transactions Parity Act (H.R. 2775), which would provide states with the authority to require e-retailers to collect sales taxes just as the brick-and-mortar companies do.

“As you know, due to a Supreme Court decision, states can require only stores that have a physical presence in that state to collect state sales taxes. This is important because these taxes are already owed by consumers under existing state use tax laws, but are not being collected by the e-retailer. With the growth in online purchasing, states are losing $24 billion in annual revenues.”

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