In
the mad scramble to deal with the state’s budget deficit our Legislature would
have you believe that taxing internet sales is the equivalent of the goose that
laid the golden egg – that it will produce revenue for the state without a cost
to anyone in California.
And
if you believe that, perhaps we can get the tooth fairy to take care of the
rest of the budget.
AB
28X – now headed to the Governor’s desk – would place new tax burdens on
Internet sales and is a direct threat to small business and Internet
entrepreneurship. The California Small Business Alliance is a member of the
Coalition to Protect Small Business Jobs, calling upon Governor Brown to veto
the e-taxation bill approved by the California Legislature.
If AB
28X is signed, similar bills across the country will follow, and this would be
an accounting nightmare for small business owners. Unlike larger retail chains
with large accounting staffs and in-house legal counsel, small businesses
simply do not have the resources to contend with calculating, collecting and
remitting taxes to thousands upon thousands of tax jurisdictions across the
country. It would be a competitive disadvantage for small retailers and would
force many of them to close their doors.