(Washington, DC) – Today, Congresswoman Annie Kuster (NH-02) has brought together both Democrats and Republicans to call for a one-year moratorium on the implementation of an online sales tax for small businesses. The bipartisan call to Speaker Ryan and Leader Pelosi outlines the serious consequences the implementation of an online sales tax would have on small businesses in New Hampshire and across the country. The letter, signed by Representatives Carol Shea-Porter (NH-01), Don Young (AK-AL), Peter A. DeFazio (OR-04), Greg Gianforte (MT-AL) and Suzanne Bonamici (OR-01), also highlights the importance of a moratorium so that Congress can consider ways to permanently protect small businesses. An online sales tax would subject New Hampshire small businesses to more than 9000 separate tax jurisdictions across the country.
“As the House of Representatives works towards the conclusion of the 115th Congress, we request that any end-of-year legislation include a one-year moratorium for small businesses to collect and remit sales taxes as a result of the June 2018 South Dakota v. Wayfair, Inc. Supreme Court decision,” wrote the members. “This decision has put a tremendous strain on small businesses across the country and has given them, in some cases, only six months to collect taxes from over 9,000 tax jurisdictions in the United States. The inclusion of a one-year moratorium on collections would ensure that small business owners and workers will have time to fully comply with the law and remove uncertainty within the business community.”
Kuster is a cosponsor of H.R. 6824, the Online Sales Simplicity and Small Business Relief Act, bipartisan legislation that would include an exemption for small businesses that generate less than $10 million in annual U.S. online sales. Kuster has been a vocal opponent of efforts to impose an online sales tax and joined a brief urging the Supreme Court to reject South Dakota’s effort to impose sales tax across state lines.
The full text of the letter is available here