The coalition is leveraging this petition to send a message to lawmakers, calling for changes in tax policy to support a more sustainable future in the fashion industry. Credit: ACT

The petition, started by Rachel Kibbe, CEO and founder of ACT, aims to reform the current US tax system that applies sales tax to used items, including thrifted apparel, handbags, accessories and footwear. The petition also covers repairs and alterations.

The campaign, supported by ACT fashion resale members including Thredup, Vestiaire Collective, Fashionphile and Unspun, highlights a significant challenge in the second-hand market: consumers are effectively paying sales tax twice on the same item – once during the initial purchase and again when bought second-hand.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

“This double taxation is an unfair double-dip into shoppers’ pocketbooks,” says the petition website.

The coalition is leveraging this petition to send a message to lawmakers, calling for changes in tax policy to support a more sustainable future in the fashion industry.

ACT argues that this practice unfairly burdens both consumers and businesses that are driving the shift towards sustainable fashion.

Key points of the petition include:

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
  • The current tax system is seen as working against second-hand shopping, a growing sector chosen by millions for its economic and environmental benefits,
  • Ending double taxation could lead to cost savings for consumers and support American businesses in the circular economy,
  • The petition aims to make second-hand clothing and repair more financially accessible, potentially fostering a culture of reuse and recycling,
  • ACT cites that 85% of discarded textiles end up in landfills, with 17m tonnes of textile waste accumulating across the US.

In July, ACT submitted a letter to the US Trade Representative endorsing The Americas Trade and Investment Act (The ‘Americas Act’) as a pivotal initiative for economic prosperity across the Western Hemisphere.