This is no hyperbole. The RTPA will touch and harm every single business in America and allow 46 states to exert power over them even if they’re a tiny company in only 1 state. To say this is an unprecedented overreach doesn’t begin to cover it.
This bill was essentially written by the Tax Certified Solutions Providers (related article here) and is crony capitalism at its worst. The RTPA had a last minute addition to the March draft that I saw removed the Small Business Exemption (SBE) for any seller who sells through a “Marketplace”. This is probably a huge percentage of online sellers. Some prominent examples:
So if you sell ANYTHING at all, any sales volume through a marketplace, no SBE for you! Yes, channeling the Soup Nazi.
What I didn’t catch, is that after the standard SBE drops to $1 million in sales (not remote sales, any sales), it drops to zero anyway after 3 years of passing.
So every single business in America, regardless of how small they are or if they even sell across state lines, will be impacted by the RTPA. This doesn’t just affect anyone who sells online, it affects everyone.
- All of the compliance costs
- All of the audit risks
- All of the time wasted
- All of the money flowing into CSP’s pockets
- Even if you’re a 1 person company in 1 state.
This is a tax on every business in America. It must be stopped!
And I guess it was hyperbole – 7 or 8 businesses will do very well if this horrific bill passes. But we can’t all be the CSPs who basically wrote this bill.