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tax

Main Street Fairness Act

What’s in a name? That which we call a rose
By any other name would smell as sweet.

If truth in advertising laws applied to Congress, the so-called Main Street Fairness Act would be renamed as the Main Street Tax Act because it has absolutely nothing to do with fairness for main street. The unstated premise is that our current tax laws that treat online, out-of-state purchases different from offline purchases at bricks-and-mortar stores is unfair to Main Street businesses. However, the bill is all about collecting more sales tax and offers no help to Main Street businesses.

Congress makes the following findings:

(1) States should be encouraged to simplify their sales and use tax systems.

(2) As a matter of economic policy and basic fairness, similar sales transactions should be treated equally, without regard to the manner in which sales are transacted, whether in person, through the mail, over the telephone, on the Internet, or by other means.

(3) Congress may facilitate such equal taxation consistent with the United States Supreme Court’s decision in Quill Corp. v. North Dakota.

(4) States that voluntarily and adequately simplify their tax systems should be authorized to correct the present inequities in taxation through requiring sellers to collect taxes on sales of goods or services delivered in-state, without regard to the location of the seller.

(5) The States have experience, expertise, and a vital interest in the collection of sales and use taxes, and thus should take the lead in developing and implementing sales and use tax collection systems that are fair, efficient, and non-discriminatory in their application and that will simplify the process for both sellers and buyers.

(6) Online consumer privacy is of paramount importance to the growth of electronic commerce and must be protected.

You have to love Congress. Not sure how increasing taxes is fair to anyone but state governments, but there you go. Looking out for Main Street by hiking taxes.