[Congressional Record Volume 157, Number 166 (Wednesday, November 2, 2011)]
[Senate]
[Page S7082]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SUBMITTED RESOLUTIONS
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SENATE RESOLUTION 309--SUPPORTING THE PRESERVATION OF INTERNET
ENTREPRENEURS AND SMALL BUSINESSES
Mr. WYDEN (for himself, Ms. Ayotte, Mrs. Shaheen, Mr. Begich, Mr.
Merkley, and Mr. Heller) submitted the following resolution; which was
referred to the Committee on Finance.
S. Res. 309
Whereas the United States enjoys a strong Internet retail
market, which, for the past decade, has provided consumers in
the United States with the opportunity to purchase quality
products and services at competitive prices;
Whereas the free Internet marketplace has enabled a large
number of small retailers and entrepreneurs across the Nation
to establish and strengthen businesses on various e-commerce
platforms and therefore protect and create jobs, increase
consumer choice, create competition in the retail industry,
and provide quality goods and services at reasonable and
often discounted prices;
Whereas any Federal legislation that would upset the free
and fair Internet marketplace and allow State governments to
impose new, onerous and burdensome sales tax-collecting
schemes on out-of-State, Internet-enabled small businesses
would adversely impact hundreds of thousands of jobs, reduce
consumer choice, and impede the growth and development of
interstate commerce; and
Whereas at a time when national unemployment numbers are
high and businesses across the country are struggling to keep
their doors open, the Federal Government should promote pro-
growth and pro-business policies instead of enacting
legislation that extracts additional taxes from our Nation's
Internet-enabled businesses: Now, therefore, be it
Resolved, That it is the sense of the Senate that Congress
should not enact any legislation that would grant State
governments the authority to impose any new burdensome or
unfair tax collecting requirements on small Internet
businesses and entrepreneurs, which would ultimately hurt the
economy of, and consumers in, the United States.
Mr. WYDEN. Mr. President, I am pleased today to be joined by Senators
Ayotte, Begich, Heller, Merkley, and Shaheen to submit a simple but
important bipartisan resolution. Our resolution simply expresses a
sense of the Senate that the government should not sack small online
businesses with any new tax collecting mandates that would hurt their
competitiveness, hurt economic recovery, hurt competition, and harm
consumers.
The Internet is transforming the way that commerce is conducted. It
is leveling the playing field so that the marketplace--whether for
goods and services or for ideas--is less and less dominated by the big
and by the powerful. The Internet is democratizing information, speech,
and making it easier to exchange ideas as well as goods and services.
The legal regime that the United States currently has in place, which
facilitates e-commerce, must be protected. Our Constitution and laws
such as the Internet Tax Freedom Act and section 230 of the
Communications Decency Act, which I championed and protect e-commerce
platforms from litigation and small e-commerce businesses from being
crushed by layers and layers of state and local taxes, are the pillars
that support America's e-commerce platforms and online entrepreneurs'
ability to compete.
Everyone in this body recognizes that small businesses are the
engines of our economy. They are responsible for the bulk of innovation
and job creation in this country--job creation that is so desperately
needed right now. In this difficult economic period, however, many
State and local governments are facing budgetary shortfalls. It is a
difficult challenge that I am sure all of my colleagues recognize, but
State budget gaps should not be filled by imposing new tax collecting
mandates on the very types of businesses that we rely on to innovate
and create the new jobs of tomorrow. But that is what some people are
suggesting that Congress allow. I am opposed to that right now,
especially given the economic challenges that we face.
Let me give just one example of why we shouldn't upset the legal
regime that is currently working to foster innovation, encourage e-
commerce and interstate economic activity and which supports jobs.
Without the regime that we have in place, a small online retailer,
whether it is someone that is selling new merchandise or used
merchandise, would be responsible for collecting sales tax for up to
15,000 different sales tax jurisdictions. That is just not a reasonable
thing to expect. That is not a reasonable thing to expect particularly,
say, from a stay-at-home parent who sells household goods online to
supplement the family's income. Or a college student who buys and sells
used merchandise online to help finance the increasingly higher costs
of attending college. We don't want to saddle online entrepreneurs like
these with new tax collecting responsibilities that will, in effect,
put them right out of business.
I look forward to working with my Senate colleagues to build support
for this resolution and to ensure that we keep the policies in place
that enable small businesses, including online businesses, to have a
policy environment that allows them to innovate and create good
American jobs.
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