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1
HOUSE RESOLUTION

 
2    WHEREAS, In the case of National Bellas Hess, Inc. v.
3Department of Revenue, 386 U.S. 753 (1967), the United States
4Supreme Court held, in relevant part, that Congress alone has
5the power to regulate and control the taxation of commerce,
6which is conducted between a business that is located within
7one state, and a customer who is located in another state and
8who communicates with and purchases from the business using
9only remote means; and
 
10    WHEREAS, The United States Supreme Court established in
11Quill Corp. v. North Dakota, 504 U.S. 298 (1992), that a state
12government cannot, of its own accord, require out-of-state
13retailers to collect sales tax on sales within the state; and
 
14    WHEREAS, The United States Supreme Court also announced in
15Quill that Congress could exercise its authority under the
16Commerce Clause of the United States Constitution to decide
17whether, when and to what extent the states may require
18collection of sales tax on remote sales; and
 
19    WHEREAS, The State of Illinois and municipalities within
20this State receive significant operating revenue from sales
21taxes collected by brick-and-mortar businesses and online
22vendors with a nexus to the State and from use taxes on

 

 

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1purchases made online through vendors without a
2brick-and-mortar location in the State; and
 
3    WHEREAS, The tax collection loophole for online retailers
4deprives local governments of revenue that could be used to
5fund necessities such as schools, police and fire departments,
6and other important infrastructure; and
 
7    WHEREAS, The Marketplace Fairness Act, S. 698, 114th Cong.
8(2015), and subsequently the Remote Transactions Parity Act,
9H.R. 2775, 114th Cong. (2015) proposes to provide states with
10the authority to require out-of-state retailers, such as online
11and catalog retailers, to collect and remit sales tax on
12purchases shipped into the state; and
 
13    WHEREAS, The State of Illinois has enacted the Simplified
14Sales and Use Tax Administration Act, 35 ILCS 171, which is in
15compliance with the Marketplace Fairness Act, S. 698, 114th
16Cong. (2015); and
 
17    WHEREAS, Since 1999, various state legislators, governors,
18local elected officials, state tax administrators, and
19representatives of the private sector have worked together to
20develop standards, protocols, and tax systems that mitigate the
21burdens addressed in Quill Corp. v. North Dakota; and
 

 

 

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1    WHEREAS, Between 2001 and 2002, 40 states enacted
2legislation expressing their intent to simplify their sales and
3use tax collection systems and to participate in discussions to
4allow for the collection of state sales and use taxes; and
 
5    WHEREAS, 24 states have joined the Streamlined Sales and
6Use Tax Agreement and have refined their state laws
7accordingly; and
 
8    WHEREAS, The end consumer is responsible for paying the
9statutorily due sales and use tax and the retailer is the
10state-appointed collector of sales and use tax; and
 
11    WHEREAS, The enactment of legislation by Congress that
12allows states to require remote sellers to collect state sales
13and use taxes is necessary to treat all sales transactions the
14same regardless of whether they are done by an in-state,
15remote, or online retailer; therefore, be it
 
16    RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE
17NINETY-NINTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that we
18urge Congress to pass, without delay, the Remote Transactions
19Parity Act of 2015, which provides for the fair, uniform,
20simplified, and constitutional administration of and
21collection of state and local sales and use taxes due; and be
22it further
 

 

 

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1    RESOLVED, That suitable copies of this resolution be sent
2to the Majority Leader of the United States Senate, the Speaker
3of the United States House of Representatives, the Chair and
4Co-Chair of the Senate Finance Committee, the Chair and
5Co-Chair of the House Judiciary Committee, and all members of
6Illinois Congressional Delegation.