Johnson: It’s Time to Create Jobs, Growth by Closing the Sales-Tax Loophole

WASHINGTON, D.C. – Today, the U.S. House Judiciary Committee is holding a hearing to examine several proposed Internet sales tax solutions in a hearing entitled “Exploring Alternative Solutions on the Internet Sales Tax Issue.” U.S. Rep. Henry C. “Hank” Johnson, Jr. (D-GA), the ranking member of the House Judiciary Subcommittee that exercises jurisdiction over interstate taxation and e-commerce, issued the following statement:

“Uncollected sales taxes are costing us billions at a time when states’ budgets are slimmer than ever.

“Since 2007, states have sustained more than $52 billion in losses from uncollected taxes from sales online. About $23 billion in state sales taxes were uncollected in 2012, which was the most difficult budget year on record for many states. Passing common-sense legislation like the Marketplace Fairness Act would result in lower taxes, as it has already has in Georgia, and create 50,642 new jobs and $15.8 billion in additional GDP by 2022.

“By closing the online sales tax loophole, states across the country could expand social programs to help our hungry, sick, and poor, while also having much-needed revenue to build countless schools, roads, bridges, and other infrastructural projects that put Americans back to work.

“The House Judiciary Committee has held numerous hearings on this issue. We understand the problem, and we know we need to fix it. The Senate has already reported legislation that is overwhelmingly bipartisan. It’s time that the House Judiciary Committee follow suit. As the Ranking Member of the Subcommittee, I look forward to working together with my Republican colleagues and getting this done.”

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