Revenue Department Applauds Senate Action on Streamlined Sales & Use Tax Agreement

MADISON – Administrator Diane Hardt of the Department of Revenue’s Income, Sales & Excise Tax Division today provided testimony on the Streamlined Sales & Use Tax Agreement (SSUTA) to the Senate Committee on Tax Fairness and Family Prosperity chaired by Sen. Robert Jauch (D-Poplar).  Hardt’s testimony was in support of conforming Wisconsin to the provisions of the agreement, which has been included in the past two budget proposals by Governor Jim Doyle.


“The Streamlined Sales and Use Tax Agreement is an important part of our overall effort to simplify the state’s tax system,” said Revenue Secretary Roger M. Ervin.  “Leveling the playing field for Main Street businesses, while encouraging voluntary tax compliance among all businesses, greatly benefits Wisconsin.” 


SSUTA is an effort to simplify the system by which state and local sales and use taxes are administered.  The agreement allows states to make independent decisions about which products and services are taxable or exempt, but provides uniform definitions, administrative procedures, and technology standards across all states. 


The goal is to increase tax compliance among all businesses, especially multi-state businesses, while removing the competitive disadvantage for local businesses.  SSUTA also seeks to address the fiscal concerns related to e-commerce growth.


The initiative is supported by many business groups and individual businesses, including more than 1,100 multi-state businesses that have registered voluntarily to collect sales and use tax in 22 states already conforming with SSUTA.  Wisconsin would be the 23rd state to join the agreement.