Retailers Support Introduction of Remote Transactions Parity Act

(IDEX Online News) – The National Retail Federation (NRF) has issued its support for House Oversight and Government Reform Committee chairman Jason Chaffetz (R-Utah) following the introduction of the Remote Transactions Parity Act (RTPA). The act seeks to resolve the online sales tax collection disparity.

The RTPA will provide sales tax parity at the point of purchase so that Main Street retailers do not face a competitive disadvantage because they are required to collect the sales tax owed on purchases while remote and online sellers are not required to collect the tax.

“Importantly, the bill adds significant simplification to the sales tax collection process, removing both the compliance and audit burdens for remote sellers that choose to use certified software providers,” said David French, senior vice president of the NRF. “And the bill does this while also upholding the House Judiciary Committee’s Principles on Internet Sales Tax, he added.

“The bill will eliminate the online sales tax collection loophole, which distorts competition, the free market and unfairly favors online sellers at the disadvantage and expense of local communities, merchants and small business owners and their employees,” said French in a statement issued by the NRF. “Retailers should be free to compete for customers and sales without the federal government picking winners and losers in the marketplace.”