Professor Shanske Comments for CNBC on Tax Amnesty Program for Amazon Sellers
Professor Darien Shanske commented for CNBC on a Multistate Tax Commission program that would allow online merchants who sell via Amazon.com to receive amnesty on an estimated $2 billion in uncollected use taxes, if the merchants collect the tax in the future. Thirteen states have agreed to participate, and more are considering joining the program.
Professor Shanske said the program is unlikely to work unless the obligation to collect the use tax were enforced nationwide. Without national enforcement, he said, there will be some sellers not collecting taxes.
"The main problem is that the competitor may not be collecting tax," Shanske said. "That's a real threat [to a business considering collecting the tax]."
Darien Shanske is a Professor of Law at UC Davis. His academic interests include taxation, particularly state and local taxation, local government law, public finance, and political theory, particularly jurisprudence.