Republicans kill Internet sales tax bill in the womb

Legislation in the US Congress that would allow states to collect sales tax on Internet sales will not pass before the end of the year because of opposition from Speaker of the House John Boehner. Boehner’s opposition to the Main Street Fairness Act means the bill, which would allow states and local governments to collect sales taxes on Internet sales by businesses located outside their borders, will not pass during this session of Congress. Some supporters of the bill, which passed the Senate in May 2013, had pushed for Congress to pass the bill during a year-end congressional session beginning this week.

House Speaker John Boehner has stuck an Internet sales tax proposal in a drawer and he doesn’t intend to dust it off before the end of the Christmas shopping season – if he considers it at all. The Marketplace Fairness Act, passed last year in the Senate, would allow each state to force out-of-state online retailers to collect sales taxes from its residents. But a Boehner spokesman said late Monday in a statement that the plan isn’t going anywhere. ‘The speaker has made clear in the past he has significant concerns about the bill, and it won’t move forward this year,” said spokesman Kevin Smith. ‘The Judiciary Committee continues to examine the measure and the broader issue. In the meantime, the House and Senate should work together to extend the moratorium on Internet taxation without further delay.’ The committee, chaired by Virginia Republican Rep. Bob Goodlatte, has sat on the Marketplace Fairness Act since early in 2013. A congressional aide told MailOnline that Goodlatte fears forcing Internet stores to collect sales taxes could create new tax-compliance nightmares.