Accounting Web Article – Interesting Quotes

In a recent article in AccountingWeb “New Bill May Change the Sales Tax System” there’s a few interesting comments/whoppers.

First, a whopper from the founder of Exactor, one of the 6 CSPs that will make millions if the Marketplace Fairness Act passes.

“”E-commerce has reached maturity and there’s no reason we should treat it as some sort of start-up that needs additional incentives,” says Barsade, an attorney who specializes in taxation and technology.”

Actually, no special treatment exists now.    Due to well established law and 2 Supreme Court decisions, states can’t impose collection responsibilities on companies that don’t have presence in their state (Nexus).  The implication that E-commerce is receiving special incentives is completely false.  This has been the case for many decades with catalogs and other remote sellers.  MFA would dramatically change existing law, Federalism and the ability of states to reach across their borders and impose their rules on a business that has no presence and no representation.

“And for CPAs and tax attorneys, the legislation would expand their scope of business and be a business aid, he says. “It will insert a level of certainty and sanity to the environment.””

Great!  Legislation that will increase business for CPAs and tax attorneys – that doesn’t sound scary for affected remote retailers at all!

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