Law would require sales tax on many online purchases - WNCT

Law would require sales tax on many online purchases

Posted: Updated:
WASHINGTON -

The United States Senate is expected to take up a crucial vote Thursday that could affect online shopping habits.

Right now, states can only require stores to collect sales taxes if the store has a physical presence in the state.

Some people and organizations, including the National Retail Federation, argue that puts brick and mortar stores at a disadvantage.

"Online retailers who do not collect sales taxes can sometimes undercut the price a brick and mortar retailer can charge by 10 or more percent just because of this situation," said David French of the National Retail Federation.

U.S. Senators are working on a law that would require companies making more than $1 million a year to charge sales taxes on all out-of-state purchases. That includes items bought on the Internet.

Some large online retailers are split. Amazon supports the law, but eBay does not.

"The burden of collecting sales tax from 9,600 tax jurisdictions on interstate transactions, we think, is going to be cumbersome and ultimately hurt them," said John Donahoe, eBay President and CEO.

One study says state and local governments missed out on $23 billion dollars in sales tax revenue last year.

Justin Quesinberry

Justin is a reporter for WNCN and a North Carolina native. He has spent the better part of the last decade covering the news in central North Carolina.  More>>

  • Most Popular StoriesMost Popular StoriesMore>>

  • Owner of Raleigh 'Party Mansion' guilty of tax evasion

    Owner of Raleigh 'Party Mansion' guilty of tax evasion

    Monday, April 14 2014 4:07 PM EDT2014-04-14 20:07:04 GMT
    Claude Verbal II, who now lives in Miami, pleads guilty to a number of federal tax evasion charges.
    Claude Verbal II, who now lives in Miami, pleads guilty to a number of federal tax evasion charges.
  • Mom bites off dog's ear to save daughter during attack

    Mom bites off dog's ear to save daughter during attack

    Tuesday, April 22 2014 2:49 PM EDT2014-04-22 18:49:19 GMT
    Image from CNN/KHOU-TVImage from CNN/KHOU-TV
    In a backyard in Alvin, swings a very lucky girl. Her name is Mackenzi Plass, or Kenzi for short, and she survived a dog attack and has undergone several surgeries."She'll be two and a half in May," said her very proud mother Chelsi Camp. "She's doing great. You wouldn't know it if you couldn't see."Mackenzi has scars on her face after the ordeal just weeks ago that put her mother's animal instincts to the test."You do whatever you can," said Camp. "I don't have physical strength at my side."...
    In a backyard in Alvin, swings a very lucky girl. Her name is Mackenzi Plass, or Kenzi for short, and she survived a dog attack and has undergone several surgeries."She'll be two and a half in May," said her very proud mother Chelsi Camp. "She's doing great. You wouldn't know it if you couldn't see."Mackenzi has scars on her face after the ordeal just weeks ago that put her mother's animal instincts to the test."You do whatever you can," said Camp. "I don't have physical strength at my side."...
  • NC judge to rule against teacher tenure state law

    NC judge to rule against teacher tenure state law

    Wednesday, April 23 2014 7:18 PM EDT2014-04-23 23:18:26 GMT
    A Guilford County judge is backing two school districts fighting a North Carolina law that phases out job protections for public school teachers in favor of employment contracts.
    A Guilford County judge is backing two school districts fighting a North Carolina law that phases out job protections for public school teachers in favor of employment contracts.
Powered by WorldNow

3221 South Evans Street
Greenville N.C. 27834

Telephone: 252.355.8500
Fax: 252.355.8568
Email: newsdesk@wnct.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.