Remote Transactions Parity Act (RTPA) – Will harm literally EVERY business in America

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:

  • Amazon
  • Ebay
  • Etsy

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.

Remote Transactions Parity Act – HUGE Small Business Exemption Change – Much Worse than MFA!

To recap, the Remote Transactions Parity Act (RTPA) is the Marketplace Fairness Act (MFA) 1.1.  Same fundamental flawed and broken structure.  But now I think the RTPA is actually much worse than the MFA. The RTPA has a Small Business Exemption (SBE), as does the MFA.  But new verbiage introduced since a March draft I […]

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The Remote Transaction Parity Act Won’t Touch These Foreign Sellers – Part 2

Shortly after I wrote The Remote Transaction Parity Act Won’t Touch These Foreign Sellers, there was an article in the Wall Street Journal entitled “Borders Matter Less and Less in E-Commerce” which is an excellent example of the very problem MFA and RTPA won’t address, while hammering U.S. small businesses with compliance costs and audit risks. “E-commerce […]

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Myth of Declining Sales/Use Tax Revenue – Wisconsin Edition

Had a lovely talk with a Wisconsin employee and Streamlined States Governing Board executive.  I enjoyed our talk regarding our views on the MFA and even worse RTPA, but he did bring up a couple of chestnuts that I’ve covered before in the blog, such as the myth of declining revenue.  So in honor of […]

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The Remote Transaction Parity Act Won’t Touch These Foreign Sellers

china 1

The Remote Transactions Parity Act (RTPA) and the Marketplace Fairness Act have a gaping hole that will continue to taken of advantage of even if either bill passes.  Combine this with subsidized inexpensive shipping for the “developing country” of China – means that China will continue to ship direct to the US at prices no one […]

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Cyber Security & the Marketplace Fairness Act/Remote Transaction Parity Act

  Recent breaches in the last year have shown the perilous state of information security.  Frankly, the bad guys are winning.  A few recent breaches of note: Target Home Depot Anthem Blue Cross U.S. Office of Personnel Management A quote from the Washington Post on the recent US OPM breach that contained very sensitive information […]

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Remote Transaction Parity Act sure has a LOT of new CSP protections

As covered in our previous Revolving Door From Government –  Part 2, we covered Taxometry and their very recent hires. It sure was good luck that Taxometry hired former Legislative Director Mike Jerman.  Mr. Jerman was the Legislative Director for Representative Chaffetz (Utah) who by a stunning coincidence steered and/or wrote the “MFA 2.0” Remote Transaction Parity […]

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Revolving Door From Government – Part 2

A 2015 update for some new finds today regarding a new possible CSP – Taxometry. I guess it’s not a total surprise when people switch from the private sector to the public side… but boy it seems to be a revolving door.  Reading the who’s who in the Streamlined Sales Tax papers, I occasionally forget […]

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Amazon collecting sales tax – now up to 74% of population

Some new states added to the list, according to this Internet Retailer article. “Once Illinois comes on board on Sunday, Amazon will collect sales tax in 24 states, including from eight of the top 10 most populated states. Ohio and Michigan are the only states in the top 10 where Amazon does not collect sales […]

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Cow Pie with a bow on it! – “Remote Transaction Parity Act” MFA 2.0

Again, with the names of bills that mean the exact opposite.  MFA 2.0. First, the Marketplace Fairness Act – which would never create fairness for anyone (well covered on this blog) Now, after yet another year of defeat, it’s time to rebrand!  Why bother to truly start over and address the House Judiciary’s fairness principles […]

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