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State and Local General Sales Tax Protection Act
3/5/2024, 1:44 PM
Summary of Bill S 2351
The bill specifically addresses the issue of online retailers not collecting sales tax on purchases made by consumers in states where the retailer does not have a physical presence. This has been a contentious issue for many years, as it has put brick-and-mortar stores at a disadvantage and has resulted in lost revenue for state and local governments.
If passed, the State and Local General Sales Tax Protection Act would require online retailers to collect sales tax on all purchases, regardless of whether or not they have a physical presence in the state. This would help level the playing field for brick-and-mortar stores and ensure that state and local governments receive the revenue they are entitled to. Overall, the State and Local General Sales Tax Protection Act aims to address the issue of online sales tax collection in a fair and equitable manner. It is currently being debated in Congress, and its passage could have significant implications for both online retailers and state and local governments.
Congressional Summary of S 2351
State and Local General Sales Tax Protection Act
This bill specifies that certain requirements for aviation fuel tax revenue are limited to excise taxes on aviation fuel.
Current law requires that an Airport Improvement Program (AIP) grant recipient provide assurances that the proceeds from state and local taxes on aviation fuel will be used for the capital or operating costs of the airport or local airport system. Under current Federal Aviation Administration policy, this requirement applies to any tax on aviation fuel, regardless of whether the tax is imposed only on aviation fuel or is imposed on other products as well as aviation fuel.
This bill specifies that the AIP grant requirements apply only to state and local excise taxes on aviation fuel. The requirements do not apply to (1) state or local general sales taxes, or (2) state or local generally applicable sales taxes.
