Due to a Supreme Court decision, states can only require stores that have a physical presence in that state to collect state sales taxes. Importantly, 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 annually lose $24 billion in revenues. S. 336 would allow states to require e-retailers, as they do brick and mortar retailers, to collect these taxes.
We call on the full Senate to pass S. 336, the Marketplace Fairness Act, so that all businesses can be treated equally.