Legislation Would Pre-Empt States on Remote Sales Tax Issue
Washington, D.C.—The National Conference of State Legislatures (NCSL) released the following statement expressing opposition to U.S. Representative Jim Sensenbrenner's (R-WI) “No Regulation Without Representation Act of 2016”:
“As NCSL has spent decades working with Congress and the business community to find a solution to the remote sales tax issue, we are very disappointed to see the introduction of legislation that would drastically diminish state sovereignty and that would continue to erode states’ ability to govern. The No Regulation Without Representation Act of 2016 would prevent states from enforcing their existing laws and would further disadvantage the job creating brick-and-mortar retailers who give back to their communities.
“The No Regulation without Representation Act unjustifiably pre-empts state authority to collect the sales taxes they are already owed. The bill would go beyond the physical presence standard established in the Supreme Court’s Quill decision of 1992, which means that instead of addressing the growing problem, it would make it much worse. While NCSL is advocating for a federal solution on remote transaction collections, we oppose this legislation that not only pre-empts existing state laws and litigation efforts, but also fails to level the playing field for local retailers.”
NCSL is a bipartisan organization that serves the legislators and staffs of the states, commonwealths and territories. It provides research, technical assistance and opportunities for policymakers to exchange ideas on the most pressing state issues and is an effective and respected advocate for the interests of the states in the American federal system.