US electric trader bid farewell to tax-free era? NET Purchase tax bill passed initial vote

April 26 News, according to foreign http://www.aliyun.com/zixun/aggregation/31646.html "> Media reports, the United States time 26th afternoon, the United States Senate voted to pave the way for the online sales tax Act," The Wall Street Journal pointed out that the U.S. online tax exemption era, the end.

The new Act, entitled "Market Equity Act", will allow all States in the U.S. to levy a sales tax on online shopping practices by residents of the state. The final vote of the Senate was May 6.

Before that, the law on online shopping was a ruling by the US Supreme Court in 1992, the early stage of Internet commerce, which ruled that retailers would not be taxed if a 820.html "> network retailer did not have physical facilities (such as warehouses) in a state."

Prior to that, Amazon and other electric giants and the state's tax disputes, mainly around whether there are physical facilities in the state.

David French, head of the US Retail Alliance, which is lobbying for the bill, says the industry is evolving rapidly, and today's law is the 20th century interpretation of a 18th century document that has hampered the development of the retail industry.

At present, large U.S. network retailers are building physical facilities in the United States, such as warehouses and distribution centers, and many other traditional physical retail outlets are also starting to sell online. However, online retailers in many states do not have to pay taxes, so in the competition to take up the legal "cheap", which also led to the dissatisfaction of physical retailers.

It is noteworthy that Amazon, ebay and other giants are no longer opposed to the new law, they and Wal-Mart, like the hope that the bill passed as soon as possible.

In the view of ebay, the new law has not been able to bypass, but the company is actively lobbying, hoping to levy a sales tax increase in the threshold, from the current 1 million U.S. dollars to 10 million U.S. dollars, clearly, the lower the threshold, ebay more sellers will face tax.

Earlier, several states began asking Amazon to pay a sales tax to the state, such as California, Texas, and Pennsylvania State, which began asking Amazon buyers to pay taxes last year alone. Next year, Connecticut, Massachusetts and other states will follow.