New “Amazon” Legislation on Internet Sales Remote Sales Tax Legislation Introduced in the Senate

A bipartisan group of senators has introduced S. 1832, which would authorize and provide a streamlined process for states to require sellers, such as Amazon, to collect sales tax on remote transactions.  Similar legislation was recently introduced in the House (H.R. 3179) in October.  Under the proposed Senate legislation, businesses with less than $500,000 in annual gross remote sales would be exempted from the legislation.  Supporters of the bill cite that it provides parity between in-state and out-of-state retailers, whereas opposition to the bill believes this will hurt small online businesses and does not sufficiently reduce the deficiencies that led the Supreme Court decision in Quill v. North Dakota to restrict states from requiring remote sellers to collect sales tax.