NRF backs expanded Internet sales tax

The National Retail Federation (NRF) is publicly supporting what it calls “e-fairness” legislation that would extend the reach of state sales taxes to online transactions.



Under present regulations, a state can only charge a sales tax on an Internet sale conducted by an entity that has some type of physical presence in that state.



However, Senate Majority Leader Mitch McConnell (R-KY) made public comments on Feb. 9 that Internet sales tax legislation would be considered by the chamber during the current session of Congress, David French, NRF senior VP for government relations, made a statement in support of this legislation.



“Retailers applaud e-fairness champions Sens. Dick Durbin, Lamar Alexander, Mike Enzi and Heidi Heitkamp for continuing to push for action on removing the government-imposed sales tax advantage that Internet sellers enjoy,” said French. “Leader McConnell’s plan to work with his colleagues to facilitate a Senate vote on e-fairness legislation this year is a promising step forward, and it helps to ensure that the important Customs conference report can now proceed in the Senate. Retailers across America urge Congress to finish the job on e-fairness before more Main Street businesses are forced to close their doors due to unfair tax preferences.”