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Senators Bartlett and Bromley Urge Favorable Ruling for Cabela's
August 30, 2006
AUGUSTA–Senators Phil Bartlett, D-Cumberland County, and Lynn
Bromley, D-Cumberland County, are urging the Maine Revenue Services
to support the request by Cabela’s Retail, Inc. for a ruling
that it’s presence in Maine would not trigger an obligation
on the part of separate companies, Cabela’s Catalog, Inc. and
Cabelas.com, Inc. to collect sales tax from Maine customers.
"Maine is not currently collecting tax from these sales,” said Bartlett.
"Joining with many other states in interpreting federal law to maintain the status
would allow Cabelaâs Retail, Inc. to bring hundreds of jobs to Maine and
generate millions of dollars in new tax revenue."
Responding to criticism that Cabela's Retail, Inc. is seeking special treatment,
Senator Bromley said, "Call it smart or call it clever, Cabela's
has structured their business model to address the issue of sales tax collection.
This ruling from the Maine Revenue Services would not be specific to Cabela's
Retail, Inc., but would apply to any company that chose to structure its business
in the same way."
Bartlett added, "We routinely provide tax exemptions and provide other
incentives to bring businesses to Maine , so a reluctance to give up zero dollars
to attract good paying jobs with outstanding benefits is hard for me to understand."
Bromley concluded, "Nineteen other states have ruled favorably and are
in agreement with Cabela’s position. I really don’t want Maine hanging
out there as the only New England State to say 'No'."