KPMG report - Marketplace Fairness Act implications for sales and use tax 

February 27: The Marketplace Fairness Act of 2013—if enacted—would require, under certain conditions, all sellers not qualifying for a “small seller exception” to collect and remit sales and use taxes with respect to “remote sales”—even if the seller lacks a physical presence in the state.

The bill (S. 743) was passed by the U.S. Senate on May 6, 2013, and currently is pending before the House of Representatives for consideration. If passed by the House and signed by President Obama, the legislation would substantially change the sales tax landscape and would affect the indirect tax compliance operations of nearly every business in the United States.

At this point, among the questions that businesses may ask are—

  • What could the proposed federal legislation mean for businesses?
  • What are the steps that a business could take to prepare for new remote seller laws?

Read a 2014 report [PDF 585 KB] prepared by KPMG LLP: The Marketplace Fairness Act of 2013 – Overview and Readiness

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