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Michael Reksulak’s Free Enterprise Column

In his latest Free Enterprise column “States find online marketplace of tax ideas,” Michael Reksulak educates us on the hot button issue of “…enforcing sales tax on online purchases….”

To date enforcement has been spotty and knotty.  Michael writes:

“… customers … are becoming aware that they are required to pay sales taxes on goods purchased online … even if the seller does not collect those automatically.  Under current law, only sellers with a significant ‘physical presence’ can be compelled by state law to collect sales taxes.”

The “physical presence” requirement is where things get murky and, as a result, there is a bill in Congress called the “Marketplace Fairness Act,” which authorizes states to require all internet merchants to collect sales taxes – regardless of a physical presence or not.

Click on the link below to read more on this subject:



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