Kuster Cosponsors Bipartisan Legislation to Create a $10 Million Small Business Exemption
Yesterday, Congresswoman Annie Kuster (NH-02) signed on as a cosponsor of H.R. 6824, the Online Sales Simplicity and Small Business Relief Act, bipartisan legislation that would include an exemption for small businesses that generate less than $10 million in annual U.S. online sales. The bill was introduced by Congressman Jim Sensenbrenner (WI-05) last month in response to the Supreme Court ruling in June on Wayfair v. South Dakota, which allows states to require out-of-state merchants to collect and remit local sales tax on products sold to their residents. Congresswoman Kuster joined a brief urging the Supreme Court to reject South Dakota’s efforts to impose sales tax across state lines and publicly stated her opposition to the Court’s decision.
“The Supreme Court’s ruling in Wayfair v. South Dakota has put tremendous strain on New Hampshire small businesses, holding them accountable to more than 9,000 taxing jurisdictions nationwide,” said Kuster. “This legislation provides relief to retailers with more limited revenue by exempting them from collecting sales tax for other states and puts a reasonable timeline in place for when larger businesses are responsible for collecting. I want to thank my colleagues for coming together to introduce this much-needed check on the scope of Wayfair v. South Dakota and I will continue to advocate for small businesses by fighting unfair and unnecessary tax regulations.
The Online Sales Simplicity and Small Business Relief Act would prohibit states from imposing sales tax collection duties until January 10, 2019 and carve out a $10 million exemption for small business sellers.