(DALLAS, TX) – The CEO-leaders of Job Creators Network today called upon members of the House of Representatives to halt preferential treatment for online-only retailers and pass legislation that closes the online sales tax loophole.
“Preferential tax treatment given online-only retailers has put brick and mortar retailers of all sizes at a tremendous competitive disadvantage,” the chief executives wrote. “By prohibiting states from requiring online-only retailers to comply with the same sales tax collection rules as those on Main Street, government is, in effect, subsidizing online retail.”
The members of Job Creators Network also urged Congress to act quickly, citing a recent study that showed leveling the playing field can help states cut other taxes significantly. According to Reagan Administration economist Dr. Arthur Laffer, allowing states to collect these already-owed sales taxes would enable them to lower overall tax rates and create more than 1.5 million jobs in the nation over the next 10 years.
“Restoring basic free market principles by taking government’s thumb off the competitive scale has merit in its own right,” according to the business leaders. “But doing so and giving states the tools to broaden their tax base while lowering rates has the potential to ignite real economic growth across the country – something badly needed.”
“The sooner Congress acts, the faster savvy governors and state legislators across America can get to work reducing taxes and encouraging job growth,” the letter concluded.
In 2013, E-Fairness legislation passed the U.S. Senate with broad bipartisan support. The House of Representatives Judiciary Committee will hold a hearing on the Internet sales tax issue on Wednesday, March 12, 2014.
The JCN letter to Congress was signed by founders and former and present chief executives of 13 companies including City Sports, Best Buy Co., Anthony and Co., Jackson Healthcare LLC, Kitson & Partners, Petsmart, Inc., Las Vegas Sands Corp., American Drug Stores Inc., The Home Depot, Rabine Group, McLaughlin, Staples, Inc., and Stephens, Inc.
Download the letter here: JCN MFA Letter
ABOUT JOB CREATORS NETWORK
Job Creators Network (JCN) is the voice of real job creators that has been missing from the debate on jobs and our economic crisis. JCN members talk about paychecks, not politics, helping the public and policymakers understand how jobs are created. For more information please visit www.JobCreatorsNetwork.com.