Who Supports the Marketplace Fairness Act?
Support for the Marketplace Fairness Act is organized and funded by Walmart, Home Depot, Best Buy and other mega-retailers. The mega-retail lobby has spent over 50 million dollars lobbying for it and donating to congressman to (cough) make sure the votes are in line. They can afford to do this because... after all, they are BIG with billions of dollars. The opposition has donated just over 3 million dollars because the opposition is led by small businesses with thin margins. Let's follow the logic... and the money.
The Marketplace Fairness Act makes it almost impossible for small online businesses to comply with the demands. Marketplace Farness Act will be Administrative Nightmare
It will bankrupt many small businesses. Marketplace Fairness Act will Bankrupt Many Small Businesses
Small online retailers represent a nimble threat to Big Box retailers online... they don't like this. They have used their influence and money to get the Senate to pass the Marketplace Fairness Act. Sadly, they have done it under the guise of "fairness".
Small businesses don't have armies of accountants and attorneys to deal with the labyrinth of laws and regulations and the circus of audits that will follow if this is passed. Walmart knows this and is exploiting their power in Congress to crush small online retailers just like they've crushed small brick and mortar retailers.
Read the recent letter to congress signed by many of these small online retailers who have been targeted by this legislation.
Some additional important and enlightening articles on this subject:
- Myths vs Facts (Regarding MFA)
- Good for Walmart, Bad for Consumers
- Why Amazon Joined the Other (wrong) Side
Keep in mind that a few short years ago Big Box retailers accounted for 65% of all online sales. Today, they capture 83%. Their market share is growing rapidly and if the Marketplace Fairness Act passes, their oligopoly will grow. Pretty soon, small online retailers will be crowded out just like they have been locally. Get used to shopping at Walmart.com and Amazon.com... that's all you'll have in a few short years.
If you love small businesses, we believe that you must oppose the Marketplace Fairness Act. And if you think Walmart needs more special favors and tax breaks then, you're support for MFA could be justified.
It's important to note that other supporters include software companies like "Fed Tax" who eagerly support the law and spread misinformation so they can profiteer off it's complexity. And some state governments, who are looking for new tax revenues.