The US House Small Business Subcommittee on Economic Growth, Tax, and Capital Access recently held a hearing titled, “South Dakota v. Wayfair, Inc.: Online Sales Taxes and their Impact on Main Street.” The hearing focused on small business examples of how complex state online sale tax laws are negatively impacting small business operations and growth through loss in sales, increased compliance costs, and general uncertainty. Witnesses advocated for federal efforts to address simplifications and standardization of state online sales tax laws, small business exemptions, and restrictions on state retroactive tax collection. If you would like to learn more about this hearing, we encourage you to visit this link.
As Congress continues to examine possible federal solutions to the online sales tax dilemma, eBay will continue to work with members of Congress and relevant committees of jurisdiction to highlight the essential role small businesses play in our nation’s economy. In the over 18 months since the Wayfair decision, eBay has continuously advocated at the state and federal levels against burdensome and unnecessary tax laws, and for a level playing field as small businesses are continuously forced to compete against big box retailers.