Should Conservatives Vote to Give Tax Collectors MORE Power?

The U.S. Senate recently approved a measure handing significant new powers to each state’s department of revenue, the state equivalent of the IRS. That means that each senator voting for the Marketplace Fairness Act is encouraging state tax collectors to reach outside of their own state and into the pockets of non-citizens. Thus the legislation radically expands the power of government, particularly where taxes and government audits are concerned.

Not long after the Senate vote the story broke that the IRS targeted conservative groups seeking tax-exempt status for additional scrutiny and harassment, even while expediting the applications of supposed “liberal” groups. Every day the facts get more damning and more politicians line up to denounce this obvious government abuse of power.  All indications are that the abuse was political, but in other situations the motivations could be different, perhaps to something as simple as a desire to raise questionable revenue from a target that cannot really fight back.

The Marketplace Fairness Act allows just that by greatly expanding the power of each state’s department of revenue, making it easier to shake down out-of-state businesses. For example, California could summon a Louisiana merchant to defend itself in a California court. How much easier to just pay the demand rather than to spend the time and resources to fight it?  Do we trust that the audits will be legitimate or driven by the need for new revenue?  As with the IRS scandal, abuse of power can take many forms.

We’ve been through all of this before, when states under the Articles of Confederation were erecting all manner of barriers to trade and sought to advance themselves to the economic detriment of other states. Hence, the new U.S. Constitution included a Commerce Clause and a Due Process Clause. Both of which are violated under the proposed law.

So why would a conservative embrace such a huge expansion of government taxing power?  Real conservatives would not.

You don’t need to be fan of history to know why supporting this legislation is bad. Just look to the IRS to see what happens when extensive intrusive government powers are granted.