The Marketplace Fairness Act of 2013 was recently met with approval from the U.S. Senate and is currently being reviewed by the House. If the Marketplace Fairness Act of 2013 is passed, Ecommerce businesses will have increased overhead costs, new sales tax reporting requirements, increased risk for lawsuits and tax audits, potential loss of sales, and a competitive disadvantage in the marketplace. Academic studies have estimated that more than $12 billion additional sales taxes will be collected from Ecommerce stores each year, if this bill is passed, according to CNN.
Endicia recently surveyed the consumer’s responses to the Internet Sales Tax Law and created this infographic to display the findings. Their biggest finding from the consumer reaction to the bill was that 60% of shoppers said that they would change their online shopping habits if it gets passed. This would mean that 60% of your customers could potentially be lessening or stopping their shopping on your website all together. Of this 60 percent Endicia found that 44 percent they would buy less online, 12 percent said they would buy more from their hometown stores, and 4 percent said they would purchase more from big retail chains.
The Marketplace Fairness Act of 2013 would affect online retailers making more than $1 million in annual sales; the money collected would be used to fund local and state governments.
Help ensure that the Internet sales tax bill is fixed or defeated: Write to Your Congressman Today.
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