Rep. Gosar Speaks Out against Online Sales Tax Legislation

WASHINGTON, D.C. - Today, U.S. Congressman Paul A. Gosar, D.D.S. (AZ-04) released the following statement after speaking at a press conference sponsored by Congressman Steve Daines (MT-AL) and Senator Ted Cruz (Texas) along with other industry leaders opposing legislation, such as the Marketplace Fairness Act, that would create new online sales taxes:

“American families and small businesses don't need another tax forced upon them while our economy is still struggling. The National Taxpayers Union recently released a report that found the Marketplace Fairness Act could result in $340 billion in new tax burdens over the next 10 years.

       
   (Rep. Gosar giving his remarks at Tuesday morning's press conference opposing an internet sales tax)

“Additionally, this legislation contradicts a 1992 Supreme Court decision stating that a business must be physically present in a state before that state could require the business to collect use tax on its behalf. Furthermore, a regressive tax that punishes online retailers for not having a physical presence in all 50 states is bad for small businesses and bad for growing a 21st century economy. I have a position of no new taxes. Period. I will continue to fight misguided legislation that imposes new taxes and burdens on hard-working American families.

“Today's small businesses face many challenges that threaten their success. Congress must not impede day to day commerce by over regulating business and forcing companies to comply with complicated and unnecessary tax laws. The last thing we need are more taxes and more government interference in our daily lives.”

Background:

The Marketplace Fairness Act  would allow state governments to impose sales taxes on online retailers and businesses that have no physical presence within the state’s borders.

Other speakers at the press conference included representatives from the Free Congress Foundation, WE R HERE Coalition, National Taxpayers Union, Heritage Action for America, Americans for Tax Reform and R Street Institute.

The National Taxpayers Union October report found that “the burden of state and local sales taxes on families would increase by 5.9 percent on average. Households in some states would pay up to 16 percent more in sales taxes.”

 ###