Wal-Mart’s Washington Clout Grows

Retailer pushes for legislation on Web sales tax.

In its struggle against surging online retailers such as Amazon.com Inc., Wal-Mart Stores Inc. has unleashed a weapon long shunned by Sam Walton: lobbying.

On July 24, the U.S. House of Representatives Judiciary Committee will hold a hearing on a bill to let states collect sales tax from out-of-state merchants that sell to their residents. If it is passed, online retailers, which now mostly don’t collect sales tax, will lose a price advantage that has helped them take business from brick-and-mortar stores.

Keeps Expanding

“Wal-Mart had this attitude that they didn’t need to worry about Washington and politics,” Kersh said in a phone interview. “They started lobbying on tax issues some years ago. Once you start down the path, it’s not something you retrench on. It just keeps expanding.”

Complicated Process


Page 2 of 3

Copyright 2016 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.


Advertisement. Closing in 15 seconds.