[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 1261 Introduced in Senate (IS)]

114th CONGRESS
  1st Session
                                S. 1261

To ensure that methods of collecting taxes and fees by private citizens 
on behalf of State and local governments are fair and effective and do 
       not discriminate against interstate commerce for wireless 
                      telecommunications services.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 7, 2015

Mr. Manchin (for himself and Mr. Moran) introduced the following bill; 
    which was read twice and referred to the Committee on Commerce, 
                      Science, and Transportation

_______________________________________________________________________

                                 A BILL


 
To ensure that methods of collecting taxes and fees by private citizens 
on behalf of State and local governments are fair and effective and do 
       not discriminate against interstate commerce for wireless 
                      telecommunications services.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Wireless Telecommunications Tax and 
Fee Collection Fairness Act of 2015''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) A State may designate an in-State or out-of-State 
        person as a collection agent for the State and impose upon the 
        person a duty to collect certain taxes and fees for wireless 
        telecommunications services from residents of the State.
            (2) States have the sovereign right to tax their citizens, 
        subject to the Constitution of the United States and Federal 
        law. States do not have the right to tax interstate commerce or 
        to impose taxes or other obligations on citizens of other 
        States without limitation.
            (3) A collection agent for a State may feasibly collect 
        taxes and fees from a customer in connection with a financial 
        transaction to which the agent and customer are parties.
            (4) Congress can help ensure against unreasonable burdens 
        on interstate commerce by prohibiting each State from imposing 
        a duty on any person to serve as a collection agent for the 
        State unless the collection is in connection with a financial 
        transaction.

SEC. 3. DEFINITIONS.

    In this Act--
            (1) the term ``financial transaction'' means a transaction 
        in which the purchaser or user of a wireless telecommunications 
        service upon whom a tax, fee, or surcharge is imposed gives 
        cash, credit, or any other exchange of monetary value or 
        consideration to the person who is required to collect or remit 
        the tax, fee, or surcharge;
            (2) the term ``local jurisdiction'' means a political 
        subdivision of a State;
            (3) the term ``State'' means any of the several States, the 
        District of Columbia, and any territory or possession of the 
        United States;
            (4) the term ``State or local jurisdiction'' includes any 
        governmental entity or person acting on behalf of a State or 
        local jurisdiction that has the authority to assess, impose, 
        levy, or collect taxes or fees; and
            (5) the term ``wireless telecommunications service'' means 
        a commercial mobile radio service, as defined in section 20.3 
        of title 47, Code of Federal Regulations, or any successor 
        thereto.

SEC. 4. FINANCIAL TRANSACTION REQUIREMENT.

    (a) In General.--A State, or a local jurisdiction of a State, may 
not require a person to collect from, or remit on behalf of, any other 
person a State or local tax, fee, or surcharge imposed on a purchaser 
or user with respect to the purchase or use of any wireless 
telecommunications service within the State unless the collection or 
remittance is in connection with a financial transaction between--
            (1) the person that the State or local jurisdiction 
        requires to collect or remit the tax, fee, or surcharge; and
            (2) the purchaser or user of the wireless 
        telecommunications service.
    (b) Rule of Construction.--Nothing in this section shall be 
construed to affect the right of a State or local jurisdiction to 
require the collection of any tax, fee, or surcharge in connection with 
a financial transaction.

SEC. 5. ENFORCEMENT.

    (a) Private Right of Action.--Any person aggrieved by a violation 
of section 4 may bring a civil action in an appropriate district court 
of the United States for equitable relief in accordance with subsection 
(b) of this section.
    (b) Jurisdiction of District Courts.--Notwithstanding section 1341 
of title 28, United States Code, or the constitution or laws of any 
State, the district courts of the United States shall have 
jurisdiction, without regard to the amount in controversy or 
citizenship of the parties, to grant such mandatory or prohibitive 
injunctive relief, interim equitable relief, and declaratory judgments 
as may be necessary to prevent, restrain, or terminate any acts in 
violation of section 4.
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