Senators Jon Tester and John Walsh are standing up to members of Congress who want to place new taxes on the Internet, burdening small businesses that sell goods and services online.
Tester and Walsh told Senate colleagues to oppose the Marketplace Fairness Act that would require small businesses to collect sales tax on behalf of other states and local governments when selling products online. Some Senators want to attach the Marketplace Fairness Act as a rider to separate legislation that would extend the moratorium that prevents states and local governments from taxing access to the internet. The moratorium expires on November 1.
Under the Marketplace Fairness Act, small businesses in Montana could be forced to collect sales taxes for up to 9,600 other states, cities and municipalities. Montana is one of five states that do not collect any sales tax.
"Instead of protecting and fostering e-commerce, this Internet sales tax legislation would stifle small business growth and job creation," Tester said. "To keep the Internet free of taxation, Congress must act - and soon."
"Montanans do not support federally-imposed sales taxes in any form, and it's time for Washington politicians to stop imposing new taxes on our small businesses and families," Walsh said. "I'll continue to fight to keep Montana a sales tax free state."
Tester and Walsh's fight against the Marketplace Fairness Act is supported by Rand Paul (R-Ky.), Jeanne Shaheen (D-N.H.), Kelly Ayotte (R-N.H.) and Jeff Merkley (D-Ore.).