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Press Release

FreedomWorks Calls on Congress to Act Swiftly to Protect Small Businesses in Wake of South Dakota v. Wayfair Decision

WASHINGTON, D.C. — FreedomWorks calls on Congress to act swiftly to protect small businesses and startups in the wake of the Supreme Court’s decision to overturn the 1992 Physical Presence Standard, a move which will enable states to impose burdensome taxes on retailers for online sales.

Today’s Supreme Court Decision is in favor of big online retailers that have the resources to handle the over 10,000 tax jurisdictions. This decision opens the door for more taxes and is a detriment to U.S. economic growth.

Jason Pye, FreedomWorks Vice President of Legislative Affairs commented:

“Today’s decision will likely allow for government at all levels to potentially burden small businesses and startups across the country with higher taxes. The rejection of the 1992 ruling on the Physical Presence Standard dangerously provides an opening for increased regulation that will hamper American business growth.

“The polls tell us that Americans are deeply opposed to an internet sales tax, which would hurt not only small businesses, but consumers as well. The Supreme Court’s decision today means that Congress must act in the American people’s best interest and pass specific legislation that protects small business and consumers from unnecessary online taxes.”