Last week, the Senate broke Congressional silence by passing Resolution 101 – enunciating the chamber’s position on how the country should approach the burgeoning technology of the “Internet of Things,” or what’s more commonly known as the “IoT.” Amidst a series of recent hearings in both the House and the Senate, the IoT industry and
Legislation passed by the U.S. Senate on May 6, 2013 would impose sales tax collection obligations on retailers with no physical presence in a state but would not provide a needed income tax safe harbor.
In what may prove to be one of its most bi-partisan moments in recent years, the U.S. Senate passed S. 743 (The Marketplace Fairness Act of 2013) by a large margin: 69 – 27. The Bill would require remote sellers with more than $1 million in total sales to collect sales taxes in states that adopt sales tax simplification measures. These simplification measures require one-stop tax compliance, one-stop auditing, standardization of what is subject to tax, and 90-day notice of rate changes.
Logic tells us that virtually every state will adopt these sales tax simplification measures, at least for remote sellers. This is a development that over time may lead to sales tax simplification for all sellers. …
Continue Reading Marketplace Fairness Act of 2013: Where Is The Income Tax Safe Harbor?