cobran20

The Tax-Free Internet Shopping Era May Be Over

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Gerry Harvey must be looking at this closely with a view to lobbying our Federal government

The Tax-Free Internet Shopping Era May Be Over

Consumers shop online for many reasons. Convenience. Good deals. And for some individuals, the lack of sales tax. Not all Internet companies charge sales tax on e-commerce purchases. In many states, an online retailer adds the applicable sales tax only if it has a physical presence in the state where the item was purchased. Consumers who do not pay online sales tax are required by law to report a “use tax” when they file state and federal taxes every April.

According to David French, senior vice president of government relations at the National Retail Federation, 45 states are losing an estimated $24 billion every year because of unreported Internet purchases. But a new bipartisan bill gaining traction in Congress may forever end the illusion that digital commerce represents a zero-tax environment. Republican Sen. Mike Enzi of Wyoming, a sponsor of the Marketplace Fairness Act, has brought the bill to the Senate floor as an amendment to the budget resolution. The bill would ensure that all retailers -- brick-and-mortar and online -- collect and report sales tax. Even online retail giant Amazon (AMZN), who has been battling states for years over the sales tax issue, backs the proposal. (Amazon is building new distribution centers across the country and will begin collecting sales tax in a handful of states later this year)....

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Gerry Harvey must be looking at this closely with a view to lobbying our Federal government

and given his last foray into "public opinion" when he told every granny in Australia they could safely buy stuff online his advisors must be telling him to just STFU before he digs himself another hole :)

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