October 18, 2011 > BOE Chair supports Marketplace Equity Act 2011
BOE Chair supports Marketplace Equity Act 2011
Submitted By Casey Wells
Jerome E. Horton, Chair of the California State Board of Equalization (BOE), announced his support of the Marketplace Equity Act 2011 (MEA) on October 14, 2011.
This federal legislation, introduced by Representatives Speier (D-CA) and Womack (R-AR), helps level the playing field between out-of-state online retailers and in-state brick-and-mortar stores by providing a framework for states to require out-of-state sellers collect and report the taxes due on their retail sales.
"This legislation provides a way to ensure out-of-state businesses can no longer benefit from a loophole in federal law that allows remote sellers to avoid tax collection obligations," Horton said.
Unlike previous federal proposals, the MEA would allow California to maintain oversight and control over its tax laws and policy. In addition to promoting e-fairness, by increasing tax compliance, the MEA will also support the funding of important state services.
For more information, visit www.boe.ca.gov and www.taxes.ca.gov.