Legislation closes online sales tax loophole, helps level playing field for all retailers
ARLINGTON, Va., Oct. 12, 2011 /PRNewswire-USNewswire/ -- The Retail Industry Leaders Association (RILA) praised today's introduction of bipartisan legislation that would end special treatment for online-only retailers and create a true free market by leveling the playing field for all retailers. RILA Executive Vice President for Public Affairs Katherine Lugar commended Congressman Steve Womack (R-AR) and Congresswoman Jackie Speier (D-CA) for working together to craft legislation that would close the sales tax loophole that has given online retailers like Amazon an unfair advantage over brick-and-mortar retailers for over a decade.
"Retailers compete on price 24 hours a day, 7 days a week. That competition should be on an even playing field, without government policy benefiting one type of business over another. Today, online-only retailers are often not required to collect the state sales tax, and this loophole that pre-dates the Internet itself gives them an arbitrary advantage over stores that operate in our communities.
"Government shouldn't be picking winners and losers by giving a handful of online retailers special treatment. Whether a sale happens in a store or online, the state sales tax collected should be the same.
"Congressman Womack and Congresswoman Speier have taken a strong first step toward closing the sales tax loophole with bipartisan legislation that gives all states the tools they need to treat all retailers equally. We remain committed on behalf of America's retailers to working with lawmakers in both parties, in the House and the Senate, to build support for a comprehensive solution that levels the playing field once and for all."
Retail Industry Leaders Association (RILA) is a trade association of the largest and most successful companies in the retail industry. Its member companies include more than 200 retailers, product manufacturers, and service suppliers, which together account for more than $1.5 trillion in annual sales. RILA members operate more than 100,000 stores, manufacturing facilities and distribution centers, have facilities in all 50 states, and provide millions of jobs domestically and worldwide.
SOURCE Retail Industry Leaders Association