March 25, 2013

US Senate passes Marketplace Fairness Act, brings parity to retail space

The US Senate gave its approval to the amendments of the Marketplace Fairness Act.

By admin-demo

The US Senate gave its approval to the amendments of the Marketplace Fairness Act.

Amendments to the statute will now allow the state governments a greater authority to levy and collect sales taxes from internet retailers that have no physical presence in the respective state.

Senators Mike Enzi and Dick Durbin introduced the legislation and was passed 75-24 by to ensure marketplace fairness by allowing states to enforce" state and local tax law.

Senator Dick Durbin remarked that the amendment was not aimed at introducing a new tax but the collection of an existing one.

"We believe this is a fair thing to do so those local businesses have a fighting chance — otherwise they’re competing against retailers who don’t collect sales tax and have that competitive advantage," added Durbin.

National Retail Federation president Matthew Shay welcomed the development and thanked the Senators – Enzi & Durbin – for championing the Bill.

"This is a critically important issue for retailers – both large and small – across the country. Both brick-and-mortar stores and e-commerce leaders understand that the Marketplace Fairness Act is common-sense legislation dedicated to protecting states’ rights, strengthening our communities and preserving our free market system," noted Shay.