H.R. 379 – Protecting Businesses from Burdensome Compliance Cost Act of 2019

AI-Generated Summary

Updated April 14, 2026 at 12:09 AM UTC

The Protecting Businesses from Burdensome Compliance Cost Act of 2019 would limit the power of states and their subdivisions to make online sellers that lack a physical presence in the state collect sales taxes, fees, or detailed buyer information. It allows such collection only if the tax is a uniform rate that does not exceed the total state‑and‑local rate for in‑state sellers and requires minimal reporting. The bill targets remote sellers and would become effective on January 1 2020.

Key Provisions

Stops states (and D.C., territories, etc.) from forcing sellers that don’t have a physical presence in the state to collect sales taxes or fees from buyers in that state, unless specific conditions are met.
The only allowed exception is when the tax is a uniform rate that does not exceed the combined state‑and‑local rate for in‑state sellers, applies to all purchases of the same good or service, and requires the remote seller to remit the tax to only one location and to report only zip‑code‑level aggregate data.
Prohibits any state subdivision (such as counties or cities) from requiring remote sellers to collect taxes, fees, or purchaser information.
Defines “remote seller” as a seller without a physical presence in the buyer’s state and defines “State” to include states, D.C., territories, and possessions.
The law would take effect on January 1 2020 and apply to purchases made on or after that date.

Legislative Activity

Stay on top of the latest movement without scrolling through every action

2 earlier actions

HouseCommittee Latest Action

Referred to the Subcommittee on Antitrust, Commercial, and Administrative Law.

Administrative State, Regulatory Reform, and Antitrust Subcommittee

January 9, 2019

View full timeline

HouseIntro Referral

Introduced in House

January 9, 2019

HouseIntro Referral

Referred to the House Committee on the Judiciary.

Judiciary Committee

January 9, 2019

HouseCommittee

Referred to the Subcommittee on Antitrust, Commercial, and Administrative Law.

Administrative State, Regulatory Reform, and Antitrust Subcommittee

January 9, 2019

Floor Debate

1 member

What members said about H.R. 379 on the floor

1 Democrat

Rep. Salud O. CarbajalD-CA-24 · May 17, 2019

Madam Speaker, I rise today to recognize the importance of buying American-grown flowers. Whether it is celebrating a wedding or graduation, or sending condolences, flowers have been used to mark…

Bill Text

Latest available legislative text

Reading Mode

Raw Text PDF XML

Introduced in HouseIssued January 9, 2019

I

116th CONGRESS

1st Session

H. R. 379

IN THE HOUSE OF REPRESENTATIVES

January 9, 2019

Mr. Gibbs (for himself and Mr. Gianforte) introduced the following bill; which was referred to the Committee on the Judiciary

A BILL

To limit the authority of a State to require remote sellers to collect taxes and fees owed by purchasers then located in such State incident to their purchases of goods and services from such sellers, and for other purposes.

1.

Short title

This Act may be cited as the Protecting Businesses from Burdensome Compliance Cost Act of 2019.

2.

Limitation on Authority of States To Require Remote Sellers To Collect Taxes and Fees Owed by Purchasers of Goods and Services

(a)

Limitation

Except as provided in subsection (b), a State may not require a remote seller—

(1)

to collect a tax or fee owed by a purchaser then located in such State incident to the purchase of a good or service from such seller, or

(2)

to collect information incident to the purchase of a such good or service from such seller by such purchaser,

if such seller does not have a physical presence in such State at the time of such purchase.

(b)

Exception

Subsection (a) shall not apply with respect to the purchase of a good or service if—

(1)

such purchase occurs after the effective date of this Act,

(2)

the tax or fee described in such subsection—

(A)

is imposed only on a purchaser pursuant to a statute then in effect in the State in which the purchaser is located at the time of such purchase, and

(B)

is also payable incident to purchases throughout such State of such good or service, and payable at a uniform rate that does not exceed the combined rate of the State and local taxes and fees payable by purchasers in such State of such good or service from sellers physically present in such State at the time of such purchases, and

(3)

such statute does not require a remote seller—

(A)

to remit to more than a single location in such State, taxes and fees owed by purchasers then located in such State and collected by such seller, or

(B)

to provide to such State any information about such purchasers, other than—

(i)

the zip code areas in which such purchasers were located in such State at the time of the purchases, and

(ii)

the aggregate amount of such taxes or fees collected by such seller owed by such purchasers in a particular zip code area.

3.

Prohibition of Authority of Subdivisions of States

A subdivision of a State may not require a remote seller—

(1)

to collect a tax or fee owed by a purchaser then located in such State (or in such subdivision) incident to the purchase of a good or service from such seller, or

(2)

to collect information incident to such purchase.

4.

Definitions

For purposes of this Act:

(1)

Remote seller

The term remote seller means a person that sells a good or service and that does not have a physical presence in the State in which purchaser is located at the time the purchase of such good or service occurs.

(2)

State

The term ‘‘State’’ means any of the several States, the District of Columbia, or a commonwealth, territory, or possession of the United States.

5.

Effective Date

This Act shall take effect on January 1, 2020, and shall apply with respect to purchases that occur on and after such date.