US Senate looking to tax Internet Sales
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src="http://www.it-toolkits.com/images/IT_Infrastructure_Strategy_Charter.jpg">The
US Senate has a new bill on its agenda, The Marketplace Fairness Act, that
would allow states to collect taxes on Internet sales, even when the seller does
not have a physical presence in the taxing state.
In essence the bill would allow states that sign on to collect sales
taxes from Web-based sellers, reversing a widespread practice of no Internet
sales taxes since the beginning of the commercial Web.
The new bill would allow states to collect sales taxes from remote sellers if
they sign on to the Streamlined Sales and Use Tax Agreement (SSUTA), a
12-year-old effort to meet the Supreme Court’s requirements to simplify sales
tax collection, or if they adopt a so-called alternative tax simplification
plan.
Sponsors of the bill, similar to past efforts to allow Internet sales taxes,
said the current system is unfair to small bricks-and-mortar businesses that
have to charge sales tax to local customers.
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