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News Link • TAXES: Internet

In battle against online sales tax bill, eBay reaches out to users

• Hayley Tsukayama via The Washington Post
 E-commerce giant eBay is pulling its customers into its fight against legislation that would allow states to collect sales tax on online transactions, warning that the measure will lead to higher prices.

The bill, the Marketplace Fairness Act, is expected to be approved by the Senate this week, but is likely to face a tougher time in the House.

EBay began sending its millions of customers an e-mail plea from John Donahoe, the company’s chief executive, on Sunday, asking them to lobby their congressman to postpone action of the bill.

“For consumers, it means more money out of your pocket when you shop online from your favorite seller and small-business shop owner,” Donahoe said in the e-mail

EBay’s plea focuses on how the bill could impact small businesses, including the millions of sellers that use its e-commerce site. They would have to juggle tax codes from “more than 9,600” jurisdictions to comply with the bill, Donahoe said.

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