Federal Internet Sales Tax Update

August 2, 2019

This week Senator Jeanne Shaheen (D-NH) and three of her colleagues introduced S. 2350, the Online Sales Simplicity and Small Business Relief Act of 2019. The bill seeks to help small businesses by providing a $10 million national small business exemption, prevent retroactive taxation and drive states toward tax simplification structures. Last week U.S. Senator Maggie Hassan (D-NH) visited with eBay sellers in Pittsfield, New Hampshire to discuss Internet sales tax issues.  

The Online Sales Simplicity and Small Business Relief Act of 2019 was also introduced in the House of Representatives (H.R. 1933) in March of this year by Representative Jim Sensenbrenner (R-WI-5), and is now cosponsored by eight of his colleagues.

eBay applauds Senator Shaheen and Representative Sensenbrenner and their colleagues for their support of small businesses. As small businesses struggle to operate in the tax environment created by last year’s Supreme Court South Dakota v. Wayfair decision, eBay continues to fight for small businesses and is working to improve state tax laws. eBay opposes any attempt to impose Internet sales tax collection burdens on small Internet-enabled businesses that struggle enough as it is to compete with big box retailers.

eBay is now collecting sales tax in twenty-two states as of August 1st. For the latest list of these states, and states scheduled for future implementation, continue to check the frequently updated Taxes and Import Charges page on the ebay.com website.