Stop Secondhand Clothing from Being Taxed Twice: By ACT (American Circular Textiles)
Lawmakers
Millions of shoppers choose secondhand stores and marketplaces to find unique items, save money, and protect the planet. But there's an unfair twist: The current US tax system is working against secondhand shopping by taxing used items twice.
Currently, many states tax secondhand goods, including thrifted items and repairs and alterations of apparel, handbags, accessories, and footwear. That means consumers pay sales tax twice on the same item: once on the initial purchase and again when it’s bought secondhand. This double taxation is an unfair double-dip into shoppers’ pocketbooks.
ACT (American Circular Textiles) represents over 30 leading U.S. companies in the textile circular economy (resale, rental, repair, and recycling), including several in the secondhand market. As a coalition dedicated to promoting circular textile policies, we are launching this campaign because the current tax system unfairly burdens the very businesses and consumers who are driving the shift toward sustainable fashion.
Ending double taxation on secondhand goods will lead to cost savings for consumers and support American businesses. A staggering 85% of discarded textiles end up in landfills, with 17 million tons of textile waste piling up across the US. By making secondhand clothing and repair more financially accessible, we can foster a culture of reuse and recycling, helping to reduce overall waste.
Your voice matters. We can speak out and change this unfair double taxation loophole. By signing this petition, we send a clear message to lawmakers that it's time to end double taxation on secondhand fashion. Together, we can create a groundswell of support and demand the changes we need for a more fair and sustainable future.
Petition by
To:
Lawmakers
From:
[Your Name]
Dear U.S. State Lawmakers,
I am writing to urge you to consider eliminating sales and use taxes on secondhand clothing, as well as on repairs and alterations, if this applies to your state's tax code. This policy change would have significant positive impacts on our economy, environment, and communities.
1. Supporting Circular Economy and Sustainability Goals:
In an era where sustainability is a growing priority, reducing the financial burden on consumers and businesses who engage in the circular economy is crucial. By eliminating taxes on secondhand clothing, we incentivize the reuse and repurposing of garments, reducing the environmental impact of the fashion industry. Similarly, removing taxes on repairs and alterations promotes a culture of longevity over disposability, helping to reduce the staggering amount of textile waste that ends up in landfills.
2. Economic Relief for Consumers:
Secondhand clothing and affordable repairs are lifelines for many households, particularly in economically vulnerable communities. By removing the sales tax, we can make these services more accessible and affordable, allowing families to stretch their budgets further. This change would especially benefit lower-income individuals and families who rely on these options for their clothing needs.
3. Supporting Local Businesses and Jobs:
Local businesses, including thrift shops, alteration services, and repair shops, are integral parts of our communities. These businesses not only provide essential services but also create jobs. Eliminating the sales and use tax on their services would help them thrive, especially in a challenging economic environment. By reducing their tax burden, we can support these businesses and help them continue to serve our communities.
4. Alignment with Broader Policy Goals:
Eliminating these taxes aligns with broader legislative goals aimed at promoting sustainability, supporting small businesses, and reducing economic inequality. It also complements other efforts to encourage circular economy practices, such as the development of regulations like EPR (Extended Producer Responsibility) which will require that businesses reuse and recycle what they sell in the United States. This is a common-sense step toward a more sustainable and equitable future.
Conclusion:
In conclusion, eliminating sales and use taxes on secondhand clothing, repairs, and alterations is a policy that aligns with our shared goals of sustainability, economic relief, and support for local businesses. I strongly urge you to consider this proposal and work toward its implementation.
Thank you for your attention to this important issue. I would be happy to discuss this further and provide any additional information you may need.
Sincerely,