Conservatives split over Internet taxes

[Geee]

Washington Examiner:

Republicans are split over the wisdom of a law that would allow sales taxes to be applied to online sales — and that split is most pronounced between politicians who work in Washington and those who work at the state level.

 

Internet retailers currently are not expected to collect sales taxes from customers in states where they have no physical presence. Customers are technically still liable for the taxes on the purchases, but compliance is low. Brick-and-mortar stores have long complained that the situation gives online retailers a competitive advantage.

 

The Marketplace Fairness Act, which passed the Senate in May, would address the issue by allowing states to require online retailers to collect state sales taxes.

 

Supporters and opponents of the bill agree that conservatives who have been most supportive tend to be Republicans on the state level, especially governors who are in charge of state budgets.