HomeMy WebLinkAboutResolution 2418.:;~ ->
A Resolut'on
Resolution No C~
PREEMPTION OF STATE AND LOCAL GOVERNMENTS' ABILITY TO LEVY AND
COLLECT SALES TAXES ON INTERNET TRANSACTIONS
WHEREAS, the City Council, strongly opposes legislation to preempt state and local authority
to collect essential existing and futures sales taxes on transactions made over the Internet and
through mail order catalog sales, and
WHEREAS, sales taxes, including catalog sales taxes, are rightly the jurisdiction of state and
local governments, Internet sales are no different from catalog sales and for cities, the loss of
revenues from the combined preemption of state and local taxes on Internet transaction would be
profound, and
WHEREAS, these revenues support a wide range of crucial public services, including police and
fire protection, community services and public health, and the broad preemption being
considered in Congress would seriously erode cities' and states' abilities to provide those
services, and
WHEREAS, the legislation creates a six (6) year moratorium on local authority which is deemed
far in excess of the time frame agreed to by industry state and local governments, and
WHEREAS, pending legislation creates an unfair advantage for out-of--state and international
companies over Main Street local businesses who must pay local licensing, sales and other taxes,
and
WHEREAS, the legislation may result ~n loss of revenues to local governments firm `Main
Street" busmesses who opt to order and sell merchandise over the Internet for local customers
and thereby circumvent local sales taxes,
FURTHER, it is unfair to local smalUmedium-size busmesses that provide jobs and revenue to
sustain urban economies to favor out-of--state or out-of-country competitors,
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT
WORTH, TEXAS
That Crty Council opposes adoption of the `Internet Tax Freedom Act" (S 442) until there has
been full consultation with states and local governments. The legislation would create a tax
haven for the largest, fastest growing and wealthiest corporations at the expense of local
government, `Main Street businesses and local taxpayers.
CITY OF FORT WORTH
sr -r
A Resolution
That any commission created include local Main Street" retailers. Currently the commission
would include only electronic commerce and direct marking businesses that would avoid paying
local and state taxes if the bill is adopted.
That City Council supports legislatnon that would offer tax simplification to industry and
consumers, which would protect billions of dollars worth of state and local tax revenues.
APPROVED AND ADOPTED BY THE FORT WORTH CITY COUNCIL ON THIS, THE
i 4TH DAY OF JULY 1998
c~~
MAYOR
IT SECRETAR
~~Q
C~1'~ C4U~~~L
~ 14 ~
r~. ~;~,
~rrr s~~®~~ er ~
~itq ai Fart ~A/arFh,'~axa,~
CITY OF FORT WORTH