CEA Changes Course on Internet Sales Tax Collection

December 14, 2011 -

In the late 1990's and early 2000's a politician proposing an internet sales tax would have been ridden out on a rail. It used to be that lawmakers were scared of the subject. Now even retail associations - some of which represent huge internet companies - say they support the idea. One of those trade groups, the Consumer Electronics Association, has changed sides this week.

CEA has opposed efforts in the U.S. Congress to require Internet sellers to collect sales taxes for years, but the group has "changed its mind" on the topic. Gary Shapiro, CEA's president and CEO, said Tuesday that the group’s opposition to Internet sales taxes was because the internet was "still in its infancy." They now support a unified national collection policy that "applies regardless of whether a product is purchased online or in person will help ensure all retailers -- big, small or online -- operate fairly and competitively in the marketplace," Shapiro said.

CEA is the first tech trade group to support online sales tax collection. Online retailer Amazon supports tax collection as well. Shapiro also points out that Internet sales tax collection would help state budgets and retain local jobs.

Not everyone thinks having a sales tax for the Internet on a national level is a good idea; trade group NetChoice, whose members including Facebook, Yahoo and eBay, continues to oppose Internet sales tax legislation. Steve DelBianco, NetChoice's executive director, says that online sales tax legislation would clear "the field of small businesses who use the Internet as a last-ditch survival strategy against the overwhelming competition from big-box stores."

But Shapiro thinks that no matter what anyone wants, an Internet sales tax law is "inevitable" within the next few years. CEA does at least say that a sales tax collection system would have to provide exemptions for small businesses, but what they see as a small business might not fit lawmakers' definition...

"It has to happen," he says.

Source: Network World


Comments

Re: CEA Changes Course on Internet Sales Tax Collection

Taking bets on whether it was a true change of heart or if something shadier took place (threat, bribe, membership by someone having a huge interest in the matter, etc.)

Re: CEA Changes Course on Internet Sales Tax Collection

Makes little difference to me either way.  I live in the home state of both Amazon and Valve, so I am already paying sales tax on over 90% of my online spending. 

 
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Andrew EisenOh, there's also the Facebook page.05/27/2015 - 4:29pm
hidannikOkay :( Guess I'll just have to YouTube it when I've caught up on all the other podcasts.05/27/2015 - 4:13pm
Andrew EisenI honestly don't know. The show is on my YouTube channel and we promote it here on the site every week.05/27/2015 - 4:11pm
hidannikIs there nothing a podcast app can key on?\05/27/2015 - 4:09pm
Andrew EisenYeah, we lost Libsyn quite some time ago. As such, no RSS or iTunes. We're working on finding a new (and cost effective) home but it's been really slow going.05/27/2015 - 4:07pm
hidannikThe last one on that feed was Feb 905/27/2015 - 4:05pm
hidannikThe feed is at superpac.libsyn.com05/27/2015 - 4:05pm
hidannikI ask because it hasn't shown up in my PocketCasts feed in a while. (I'm currently a month behind)05/27/2015 - 4:02pm
E. Zachary KnightAE, Loved your mom as the guest on your 30 Days of Netflix series. She is one interesting lady.05/27/2015 - 3:47pm
E. Zachary Knighthidannik, If you mean on iTunes, we are working to get it back up there soon. Otherwise, the show must go on. We record live every Saturday at 8pm Central05/27/2015 - 3:47pm
Andrew Eisenhidannik - The podcast will continue this weekend and every weekend after for the foreseeable future. What makes you ask?05/27/2015 - 3:29pm
Matthew WilsonI say no it isnt, but it depends on the reason for not selling it. were the pressured to not sell it. aka target au, or did they chose not to on their own aka gog with hatred.05/27/2015 - 3:28pm
hidannikIs there no more podcast?05/27/2015 - 3:26pm
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E. Zachary KnightGamasutra has a really interesting interview with the Hatred developers. http://gamasutra.com/blogs/AlbertPalka/20150526/244229/Real_talk_with_Destructive_Creations_Hatred_interview.php05/27/2015 - 10:11am
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ZippyDSMleeIt would be haliarous if soemone started complaining about it in some form or another.05/27/2015 - 8:58am
E. Zachary KnightMore SJW PC crap being shoved down the throats of game designers and gamers ;) http://gamasutra.com/view/news/244376/Bloodstaineds_female_lead_Miriam_reflects_the_games_audience.php05/27/2015 - 8:43am
 

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