Crippling CostsWe will incur a myriad of expenses. Our smallest retailers will pay at least $20,000 in costs in the first year alone and some will pay over $300,000. More on Costs.
Impossible ComplianceThe law subjects us to an impossible labyrinth of rules, regulations and obscure exemptions in more than 10,000 tax venues.
More on Compliance.
Unjust AuditsWe will be subject to audits by 46 different states even though we have no presence, voting rights or political representation in those states. More on Audits.
We are Main Street. We are a group of small businesses that will be crushed with mandated costs, compliance burdens and audits if this bill passes. Supporters of the dubiously titled Marketplace Fairness Act include Walmart, Best Buy, Home Depot and other mega-retailers who wish to cripple small businesses on the Internet with this bill. We can’t afford the costs and it will be impossible for us to comply with the regulations set forth in this bill. Some estimate that this bill could cost over 200,000 jobs in our sector. Even proponents admit that this bill would affect up to 3.5 million retailers. We need the help of Congress. The ironically titled “Marketplace Fairness Act” must be defeated. Read our full stance and letter to congress.
The Consequences if the Marketplace Fairness Act Passes
- It will keep small companies small forever. Online companies will never grow past the $1M threshold because they will be punished severely for passing it.
- It will cripple small and mid-sized Internet companies so they cannot compete with Amazon.com, Walmart, Best Buy and other large supporters of the bill. Small and mid-sized companies will not be able to afford the cost of compliance and the barrage of audits from 46 states and many will eventually be forced out of business.
- The cost of compliance for small online businesses that do survive will significantly reduce their earnings and imperil the livelihoods of all who work for these businesses.
- Audit risk will drastically increase for internet retailers. Small online businesses will be subject to audits from remote states where they have no physical presence, no political representation, and no right to vote and the owners of these small companies can be held personally liable and driven to personal bankruptcy for mistakes.
- And much, much more …