Sales Tax Bill Will Be Introduced in September

Representatives Ernest Istook (R-Okla.) and William Delahunt (D-Mass.) plan to introduce the Streamlined Sales and Use Tax Act soon after Congress returns from its August break. The legislation will authorize those states that have simplified their sales tax laws in accordance with the multi-state Streamlined Sales and Use Tax Agreement to require out-of-state vendors to collect and remit sales taxes.

The legislation would give states and counties the tools to collect tens of billions of dollars in sales tax revenues each year that are due under existing law, but are nearly impossible to collect. The estimated nationwide revenue loss this year is $26 billion; by 2005, it climbs to $45 billion.

The National Association of Counties is asking its members to contact members of Congress during the August recess to express support for the Streamlined Sales and Use Tax Act.