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Marketplace Fairness Coalition Lends Strong Support to New Chaffetz Effort Aimed at Closing Antiquated Online Sales Tax Loophole

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Marketplace Fairness Coalition Lends Strong Support to New Chaffetz Effort Aimed at Closing Antiquated Online Sales Tax Loophole Doc 2015-14057 (9 pgs) FOR IMMEDIATE RELEASE Contact: Ron Bonjean/Brian Walsh June 15, 2015 (202) 280-2007 Marketplace Fairness Coalition Lends Strong Support to New Chaffetz Effort Aimed At Closing Antiquated Online Sales Tax Loophole Letter Signed by 3 Million American Businesses Outlines “Destination Sourcing” as the Only Serious Way to Finally Level Retail Playing Field & Protect Local Jobs WASHINGTON D.C. – In a letter sent today to U.S. Reps. Jason Chaffetz and Steve Womack, the Marketplace Fairness Coalition, which includes the International Council of Shopping Centers (ICSC), the Retail Industry Leaders Association (RILA), the National Retail Federation (NRF), American Farm Bureau, National Association of Wholesaler-Distributors, and representatives of thousands of other American businesses applauded the introduction of the Remote Transaction Parity Act of 2015 (RTPA) which would finally address, in a serious manner, the long overdue effort to close the antiquated online sales tax loophole and offer parity for all businesses. In addition to the associations listed above, the letter was signed by almost 700 retail organizations, companies and small businesses, which collectively represent millions of American businesses and civic organizations. In a press statement issued recently, the Marketplace Fairness Coalition observed that it’s now been more than two years since the Senate overwhelmingly passed bipartisan legislation to close the antiquated sales tax loophole. Since the Senate vote there have been varied discussions with the House Judiciary Committee. We are hopeful that RTPA can move the discussion in committee and ultimately lead to a desperately needed solution. The need to move legislation was echoed in testimony to the House Judiciary Committee by National Governors Association Executive Director Dan Crippen who reminded lawmakers that “[t]he need to create parity between in-state and out-of-state retailers regarding the collection of state and local sales taxes” remains “the tax issue of greatest importance of states.” In its letter to Chaffetz and Womack today, the Coalition wrote, “As America’s marketplace continues to advance into a multi-channel arena, this legislation is urgently needed to restore a level playing field to the marketplace, thereby allowing our businesses to deliver exciting new goods and services to consumers now and into the future. We want to again reiterate our thanks for your leadership in helping to create consensus and a legislative product that has enthusiastic support by the majority of stakeholders.” Please see the full MFC letter below: Doc 2015-14057 (9 pgs) June 15, 2015 The Honorable Jason Chaffetz United States House of Representatives 2236 Rayburn House Office Building Washington, DC 20515 Dear Representative Chaffetz, On behalf of the millions of businesses and civic organizations represented by the list below, we write to offer our strong support of the Remote Transactions Parity Act of 2015 (RTPA). This legislation, which would provide a level playing field for all sellers with respect to the collection of state sales taxes, is the product of an inclusive and thoughtful process and unites a wide and diverse range of stakeholders seeking to restore free market competition and transparency to America’s marketplace. We applaud your recognition that legislation addressing the collection of online sales taxes must be based on destination sourcing. This approach is necessary to solve the key problem of price disparity at the point of purchase that is unfairly impacting community-based businesses. Furthermore, destination sourcing ensures that residents will continue to pay the sales taxes of the state in which they reside, rather than to some state with which they have no affiliation and which may carry a higher sales tax rate than their own home state. Destination sourcing is also essential because it will provide for smoothest integration into current sales and use tax collection processes, allowing merchants to utilize a multitude of compliance software options already in existence. Additionally, RTPA requires several important simplification and business protections, such as single point of collection, a uniform sales and use tax base and free certified software solutions for sellers. RTPA also includes additional safeguards not found in other bills or discussion drafts such as expanded audit protections and a longer transition period for smaller sellers with a higher initial threshold. These provisions will ensure that businesses are shielded from state regulatory overreach while providing certainty for all sellers to compete on a level playing field. As America’s marketplace continues to advance into a multi-channel arena, this legislation is urgently needed to restore a level playing field, thereby allowing our businesses to deliver exciting new goods and services to consumers now and into the future. We want to again reiterate our thanks for your leadership in helping to create consensus and legislation that has the enthusiastic support from a majority of stakeholders. We look forward to working with you to see the Remote Transactions Parity Act of 2015 through to completion this year. Sincerely, Doc 2015-14057 (9 pgs) NATIONAL TRADE ASSOCIATIONS Mountains and Plains Independent Booksellers Society of Industrial and Office Realtors Association American Apparel & Footwear Association (AAFA) Southern Independent Booksellers Alliance NAIOP, Commercial Real Estate Development American Beverage Licensees Association Southern Wholesalers Association American Booksellers Association NAMM, National Association of Music Merchants Southwest Association of College Bookstores American Farm Bureau Federation National Association of Chain Drug Stores Southwest Central Distributors American Independent Business Alliance National Association of College Stores Tri-State Bookstore Association (ND, SD & MN) American Lighting Association National Association of Electrical Distributors Tri-State Jewelers Association American Specialty Toy Retailing Association National Association of Real Estate Investment Trusts Western Suppliers Association American Sportfishing Association National Association of Realtors Wholesalers Association of the North East American Supply Association National Association of Wholesaler-Distributors World Floor Covering Association American Veterinary Medical Association National Bicycle Dealers Association Association for Christian Retail National Grocers Association STATE / REGIONAL ASSOCIATIONS Association of Independent Manufacturers National Marine Distributors Association Alabama Retail Association Auto Care Association National Retail Federation Alliance of Wisconsin Retailers Certified Commercial Investment Member Institute National Ski & Snowboard Retailers Association Arkansas Grocers and Retail Merchants Association Coalition for Auto Repair Equality National Sporting Goods Association Arizona Retailers Association Door and Hardware Institute New Atlantic Independent Booksellers Association California Retail Association Education Market Association New England Independent Booksellers Association Colorado Retail Council Food Marketing Institute North American Home Furnishings Association Connecticut Retail Merchants Association Footwear Distributors & Retailers of America (FDRA) North American Retail Dealers Association Florida Retail Federation Great Lakes Independent Booksellers Association North Central Wholesalers Association Georgia Retail Association Heating, Air-Conditioning and Refrigeration Northeast Campus Stores Association (CT, MA, ME, Idaho Retailers Association Distributors International (HARDI) NH, RI, VT, NY) Illinois Retail Merchants Association Independent Running Retailer Association Northwest Tire Dealers Association Indiana Retail Council Industrial Supply Association Outdoor Industry Association (OIA) Iowa Retail Federation Institute of Real Estate Management Outdoor Power Equipment and Engine Service Association Kansas Chamber of Commerce International Council of Shopping Centers Pacific Northwest Booksellers Association Kentucky Retail Federation International Downtown Association Pacific Southwest Distributors Association Louisiana Retailers Association International Economic Development Council Pet Industry Distributors Association Maryland Retailers Association ISSA, the Worldwide Cleaning Industry Association Pet Industry Joint Advisory Council Michigan Retailers Association Jewelers of America Professional Beauty Association Minnesota Retailers Association Metals Service Center Institute Real Estate Roundtable Mississippi Retail and Grocers Association Middle Atlantic College Stores Realtors Land Institute Missouri Retailers Association Midwest Distributors Association Retail Industry Leaders Association Nebraska Retail Federation Midwest Independent Booksellers Association Soccer Dealer Association New Jersey Retail Merchants Association Doc 2015-14057 (9 pgs) New Mexico Retail Association Jefferson Parish Economic Development Commission, David Hocker and Associates, Owensboro, KY LA North Carolina Retail Merchants Association DDR Corporation, Beachwood, OH Jefferson Chamber of Commerce, LA North Dakota Retail Association Devonshire REIT, Whitehouse, OH Northshore Business Council, LA Northern California Independent Booksellers Dick's Sporting Goods, Coraopolis, PA Association Northshore Legislative Alliance, LA DLC Management Corp., Tarrytown, NY Ohio Council of Retail Merchants River Region Chamber of Commerce,
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