RE 2013-0813.1
RESOLUTION NO. 2013-0813.1
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
COPPELL, TEXAS, SUPPORTING CONGRESSIONAL ACTION
ON MARKETPLACE FAIRNESS ACT.
WHEREAS,
the Supreme Court of the United States established in its 1992 Quill v. North
Dakota decision that States cannot on their own accord require out of state retailers to collect sales
taxes; and
WHEREAS,
the Supreme Court of the United States also declared in the same ruling that
Congress could exercise its authority under the Commerce Clause of the U.S. Constitution to decide
“whether, when, and to what extent” the states may require sales tax collection on remote sales; and
WHEREAS,
the city of Coppell receives a substantial amount of operating revenue from sales
tax collected by brick and mortar businesses, from online vendors with a nexus in the state and from
use tax as collected by the city of Coppell; and
WHEREAS,
remittance of use tax not collected by the vendor from online purchases puts an
undue burden and widely unknown obligation on consumers; and
WHEREAS,
the state of Texas has taken all necessary steps in preparation for collection of
online sales tax by making remittance of sales tax as simple as possible for online vendors; and
WHEREAS,
the traditional legal measures of physical presences and nexus create an unlevel
playing field between internet-based retailers and Texas-based retailers, who are rooted and invested in
the community; and
WHEREAS,
the unlevel playing field and tax collection loophole given to online-only
retailers starves local economies of precious resources for providing services such as schools, public
safety, and infrastructure; and
WHEREAS,
local brick and mortar retailers serve as a foundation of our economy and are
permanent, engaged members of the community who employ our citizens, support neighborhood
charities and organizations, and contribute to the city; and
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS,
that the city of Coppell supports leveling the playing field between
traditional brick and mortar retailers and Internet-based retailers, provided the State of Texas continues
to use the “point of origin" method in determining how sales tax remittance to Texas cities will
continue as required by Section 2 (b) of the Marketplace Fairness Act of 2013,by calling on the U.S.
House of Representatives to take up and pass S. 743 —the Marketplace Fairness Act of 2013 without
delay.
DULY PASSED by the City Council of the city of Coppell, Texas, this the 13th day of August,
2013.
APP' • A d• i Ad /
• i' EN LBO HU ,T, MAYOR
ATTEST:
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• STEL PE 'OS,CITY SECTARY
APPROV, 1 • S TO FO ' :
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ROBERT E. HAGER,./TY ATTORNEY