ABA firmly believes it is the responsibility of state leaders to uniformly and fairly enforce sales tax laws by requiring all retailers—whether they operate online, in bricks-and-mortar stores, or a combination of both—to fulfill their obligation to collect sales tax.
This is neither a new tax nor special treatment for independent bookstores—it is an equitable and uniform enforcement of existing state tax laws.
Locally owned businesses have far greater positive economic impact on their communities and are largely responsible for our communities retaining their unique characteristics. To undercut them, by selectively deciding what laws to enforce and what laws to ignore, is simply wrong.
To keep up with the latest news in E-Fairness, check out Bookselling This Week.
However, some online retailers with affiliates in these states are not collecting sales tax, while their in-state competitors are. This creates an unfair advantage because many in-state customers will take advantage of tax-free, online shopping. As a result, in-state retailers lose business and the states lose much-needed tax revenue.
With states facing significant budget shortfalls, there is a tremendous opportunity to win victories for sales tax equity around the country. ABA has created an E-Fairness Action Kit (E-FACT) that provides booksellers with crucial, state-specific tools to help them in their e-fairness outreach efforts.
Crucial to these successes in the sales tax equity fight has been the the passionate and engaged advocacy of booksellers and other independent retailers. E-mails, letters, phone calls, and visits with state legislators have made all the difference in bringing this important issue to the attention of elected officials.
This year, ABA created the E-Fairness Action Kit (E-FACT) to provide booksellers with a wide array of state-specific tools to help them in their e-fairness outreach efforts. In addition to state-specific template letters to state legislators and the governor calling for e-fairness, E-FACT features state-specific fact sheets that provide legislators with hard data about the economic value that independent booksellers bring to their state. In the coming weeks and months, E-FACT will also include op-ed pieces, FAQs, relevant articles, and practical suggestions for advocating on behalf of e-fairness.
The e-fairness victories already achieved are establishing an important precedent for other states to follow. Consider adapting some of the templates in the E-FACT materials to raise the issue in your state -- and help secure a level playing field for all retailers!
News on E-Fairness from Bookselling This Week
E-Fairness Everywhere:
- New York Times editorial, "States should not give in to Amazon’s pressure tactics." (March 17, 2011)
- Amazon fighting hard on state sales-tax issue — San Francisco Chronicle (March 13, 2011)
- New York Times Editorial Calls for Sales Tax Equity (May 6, 2010)
- North Carolina Right to Challenge Amazon.com on Sales Tax -- Seattle Times editorial page -- (April, 21, 2010)
- Attention, Online Shoppers: Taxes Ahead — Jena McGregor, BusinessWeek (June 4, 2008)
- Real World Needs 'Net' Taxes — Lee Gomes, Wall Street Journal (May 22, 2008)
- Taxing online retail sales is only fair — Michael Mazerov, Marketplace, American Public Media (May 5, 2008)
- 23 States Face Budget Gaps in '09 — Pamela M. Prah, stateline.org (April 25, 2008)
- New York State Girds for War With Amazon — Saul Hansell, New York Times (April 14, 2008)
- Tax on Internet Sales is Already the Law Here — Letter to the Editor of the Wall Street Journal by James R. Sherin, President and CEO, Retail Council of New York State (February 27, 2008)
- Amazon Plays Dumb in Internet Sales Tax Debate — Saul Hansell, New York Times (February 13, 2008)
- Point, Click, Pay Tax — Janet Novack, Forbes (November 28, 2007)
- The Main Street Fairness Initiative
An effort by small business owners, retailers, state legislators, local community leaders, associations and concerned citizens to help level the playing field for Main Street businesses, protect the jobs of teachers and first responders and help reduce state economic shortfalls. - Multistate Tax Commission
An intergovernmental state tax agency that works to administer tax laws that apply to multistate and multinational enterprises. - Streamlined Sales Tax Governing Board
Assists states as they administer a simpler and more uniform sales and use tax system.
