Tag Archives: collect

Alexander, Corker Back Internet Sales Tax Bill in Senate Vote

News release from Sen. Lamar Alexander’s office:
WASHINGTON, April 22 – U.S. Senator Lamar Alexander (R-Tenn.) released the following statement today on the U.S. Senate’s decision, by a vote of 74-20, to begin debate on the Marketplace Fairness Act, of which he is a lead cosponsor:
“This legislation boils down to two words: states’ rights,” Alexander said. “We ought to support states’ rights by letting Tennessee and other states decide whether they want to collect taxes that are already owed, and how to treat businesses fairly in the marketplace. Tennessee wants to avoid a state income tax and treat businesses fairly in the marketplace, and it shouldn’t have to play ‘Mother, May I?’ with the federal government to do so.”
The senator spoke on the floor of the U.S. Senate in support of beginning debate on the legislation. Today’s vote to begin debate follows a March 23 vote by the U.S. Senate to pass an amendment to the budget resolution supporting the Marketplace Fairness Act. Both votes included a majority of Republicans.
Alexander said the Senate “sent a clear message in support of the 10th Amendment, saying that states should have the right to collect, or not collect, sales taxes from all who owe it and close a tax loophole that picks winners and losers in the marketplace.”
The Marketplace Fairness Act would grant states the option to require that remote businesses, such as those selling online or through catalogs, collect sales taxes on purchases within states’ borders. Currently, remote businesses do not have to collect sales taxes in the states they sell into, while brick-and-mortar businesses do, creating a price disadvantage.
Alexander sponsored the legislation along with Senators Mike Enzi (R-Wyo.) and Dick Durbin (D-Ill.) and a bipartisan group of 26 other senators, including Senator Bob Corker (R-Tenn.). The legislation also has the support of Tennessee’s Republican Gov. Bill Haslam, as well as other Republican governors and conservative leaders across the country.

Note: A statement from Corker is below.

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Haslam, Amazon Have a New Deal — Sales Tax Collections in 2014

(Note: Expands and replaces earlier post)
By Eric Schelzig, Associated Press
NASHVILLE, Tenn. — Gov. Bill Haslam announced Thursday that he has reached a deal with Amazon.com for the online retailer to begin collecting Tennessee sales tax in 2014 and add 2,000 full-time jobs at two new distribution centers.
Amazon said it will invest $350 million in Tennessee over the next three years. The sites of the new distribution centers have yet to be decided.
Haslam said he will introduce legislation next year to solidify the deal, in keeping with a state attorney general’s opinion issued this week that the executive branch can’t unilaterally waive tax collection requirements.
“This isn’t a new tax, this tax was already due,” Haslam told reporters after the announcement. “This was just a question of Amazon collecting it themselves.”

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Corker Sees Years Passing Before Congress Act on Online Sales Tax

CARTHAGE, Tenn. (AP) — Republican U.S. Sen. Bob Corker says it may be three or four years before Congress passes regulations on tax collections by online retailers like Amazon.com.
Corker told reporters after a speech to the Smith County Chamber of Commerce in Carthage on Tuesday that he considers it “unfair” for consumers to try out items at local stores only to later purchase them tax free on the Internet.
Gov. Bill Haslam has said he wants to take a lead creating national guidelines on Internet sales taxes, but Corker said he had not yet spoken with his fellow Republican about those aims.
Corker said that the two were scheduled to dine together later Tuesday and would likely discuss it then.
Amazon is building three distribution centers in the state.
UPDATE: Andy Sher has more. An excerpt:
Corker said he can’t say if he will support legislation sponsored by Sen. Dick Durbin, D-Ill., that would let states compel Internet retailers to collect sales taxes when they do not have a physical presence in a state.
“I don’t know,” Corker said. “I don’t know what the details of it are. I know that it [legislation] is actually changing right now.”
Tennessee Gov. Bill Haslam is grappling with a sales-tax collection controversy involving the state’s recruitment of Amazon to build distribution centers in Hamilton and Bradley counties.
The governor has said he is “more than willing” to take a national role in pushing Congress to act, but it appears Haslam has got his work cut out for him with just his home-state delegation.
Corker said that, while he
has talked with Haslam some about the issue, “he has not mentioned that he may be taking a leadership [role], but we both have a lot going on.”