Tax-free Internet shopping days could be numbered

If tax-hungry politicians get their way, the days of ordering items over the Internet and not paying sales tax may become just a fond memory.

Right now, if a California resident orders something from Seattle-based Amazon.com, for instance, he or she won’t be charged sales tax at the time of purchase. That’s because Amazon doesn’t have offices in the state of California.

Pro-tax politicians want to change this by allowing California to force Amazon to collect and submit sales taxes–and they may have found an ally in a U.S. Congress that’s controlled by Democrats. (Note: See our related story on new taxes on digital downloads.)

Two bills are pending in Congress that would allow tax collectors to target out-of-state Internet and mail-order retailers, and their supporters are optimistic about their political prospects.

Source:news.com

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