The Markeyplace Fairness Act passed by the US Senate today, on first brush sounds, well, "fair". The goal is to force sales tax collection from Internet sales, catalogues, trade shows, etc. to state and local governing bodies that, well, you were supposed to pay anyway. So shame on you!
Now what will upset you is that, yes, your paycheck will go even less far. But hey that's fair, hmmmm. Besides, it equalizes the playing field when you don't buy at a bricks and mortar store, so the theory goes.
Now what should upset you, is that the physical store has to only collect sales taxes for the location it sells. BUT the Internet site or catalogue you buy from will have to deal and collect taxes from over 9600 sales taxing bodies that make up America. The legislation does throw in that the intent is to have the states be part of the Streamlined Sales Tax Initiative (SSTI) and with provide software down the road that will make it a piece of cake for these businesses to collect the sales taxes! Research of the related governing body for The SSTI will show it is another Federal Government soft sell, family audience here noted.
Truth is, the SSTI, even with what the Feds call a small business gross sales exemption of $1 million, for now, hugely burdens and will negate severely new business and products to the market, unless you are big business.
I have extensively followed this bill, related bills and done extensive research to come to these conclusions, but wait.....I called Senator Casey's office today and voiced my findings of fact. I was told that, well, I was wrong because Casey's staff that supplies the talking points, say differently. Besides, I was informed, "they do this for a living"...
Speaks volumes, doesn't it!