HomeMy WebLinkAbout2000-005-01/04/2000-ENDORSING FEDERAL LEGISLATION REQUIRING THE COLLECTION OF STATE AND LOCAL SALES AND USE TAXES ON REM RESOLUTION 2000-5
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ENDORSING FEDERAL LEGISLATION REQUIRING THE COLLECTION
OF STATE AND LOCAL SALES AND USE TAXES ON REMOTE SALES
WHEREAS, currently, neither catalog not Internet sales taxes are being collected on
interstate sales when the vendor lacks physical presence in Colorado because United States Supreme
Court decisions have precluded local governments from requiring such vendors to collect local taxes,
absent enabling federal legislation, and Congress has not acted to remedy this limitation; and
WHEREAS,local retailers are put at an unfair disadvantage by the retail operations ofremote
vendors with no obligation to collect and remit sales and use taxes; and
WHEREAS, as a general matter remote vendors have not been willing to collect sales and
use taxes voluntarily; and
WHEREAS, the City is dependent upon local collection of sales and use taxes, which
constitute more than 50%of the revenues supporting its general fund; and
WHEREAS,it is estimated that by 2003,sales from the Internet alone will reach 6%of total
retail spending and it is projected that such sales will continue to increase into the future; and
WHEREAS,in the absence of congressional action to provide for the collection of sales and
use taxes by remote vendors, revenues received by state and local governments will experience a
corresponding reduction, resulting in a shortage of funds for needed public services and
infrastructure; and
WHEREAS,although taxpayers are presently obligated to pay sales or use taxes on remote
sales, regardless of whether the vendor is obligated to collect such taxes, it is difficult and
inconvenient for local governments to collect such taxes without the cooperation of the vendor.
NOW, THEREFORE,BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the Council of the City of Fort Collins urges the Congress of the United
States of America to enact legislation to require state and local sales and use taxes to be collected
by all remote vendors and remitted to the appropriate jurisdictions.
Section 2. That the City Manager is hereby directed to transmit a copy of this Resolution
to all members of the Colorado congressional delegation,the Governor of the State of Colorado,and
the Colorado Municipal League.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins held this
4th day of January, A.D. 2000.
Mayor
ATTEST:
rh j l
City Clerk