More
than 21 states have simplified how they collect taxes in hopes of recovering an
estimated $20 billion in sales taxes that go uncollected by out-of-state online
merchants every year. But the nation's governors say they still need help from
Congress.
Online
sales are soaring. State budget deficits are growing. And tax-free Internet
sales are once again in the spotlight.
Congress
is considering bills that would “level the playing field” by allowing states to
require all online merchants doing business in that state to collect sales tax.
Web retailers have largely had a free ride since a 1992 Supreme Court ruling
that only merchants with a physical presence in a state are responsible for
collecting sales tax.
