Another U.S. State Passed The Bill
On March 29th, the House of Representatives of the United States of Georgia passed the “House Bill 61” bill, which aims to ensure that Georgia residents pay sales tax when they shop online. The bill requires that e-commerce companies in Georgia have sales of more than 250,000 U.S. dollars or annual sales of more than 200 cars. They must levy sales tax on buyers and send tax notifications to buyers who spend more than 500 U.S. dollars a year. The bill will Effective from January 1, 2019. According to the Georgian government's estimates, the bill will increase state and local government revenue by 500 to 600 million U.S. dollars a year. In recent years, states in the United States have been working on e-commerce sales tax legislation. According to Adobe Analytics data, during the peak season of 2017, US e-commerce sales reached US$1082 billion. It is estimated that US retail sales will reach 1 trillion US dollars in the next 10 years. Jay Powell, chair of the Georgia House of Representatives fundraising committee, pointed out that without e-commerce sales tax legislation, state and local governments will lose hundreds of millions of dollars in revenue. The Internet retail alliance NetChoice (including Alibaba, eBay, PayPal, etc.) claims that these changes may damage the interests of small businesses. But Georgia's legislators, as well as some business groups and local governments, have expressed support for the bill. They believe that the implementation of the bill will help local shops to better survive.