The Advertiser, Lafayette, La., on online sales tax would level playing field:

May 13

The Advertiser, Lafayette, La., on online sales tax would level playing field:

It is time for states to begin collecting sales tax on Internet purchases. This is a po-tential source of revenues for cash-strapped states that has remained untapped for too long.

Last week, the U.S. Senate passed the Marketplace Fairness Act, which would allow states the option of collecting taxes from Internet and catalog sellers.

The bipartisan bill, which passed the Senate 68 to 27, must go to the U.S. House of Representatives next for consideration.

If it becomes law, the Marketplace Fairness Act would reverse a 1992 U.S. Supreme Court decision that forbids states from collecting taxes on catalog or Internet sales from sellers outside their borders, according to an article in USA Today.

In the meantime, an estimated $800 million in sales taxes goes uncollected in Louisiana each year, according to information in an email response from the office of U.S. Sen. Mary Landrieu, D- La. ...

The complexity of collecting and remitting taxes to states around the nation was the driving force for the Supreme Court decision in 1992. But that was decades ago and computers, which make online sales possible, also make it easier to comply.

The act requires states to simplify their tax codes and to provide to retailers at no charge software that would assist in tax collection, according to USA Today.

In addition, there is a small business exemption for vendors that have less than $1 million a year in sales. ...

And these days, Louisiana can’t afford to turn down hundreds of millions of dollars in potential revenues.

Online:

http://www.theadvertiser.com

St. Mary Now & Franklin Banner-Tribune

Franklin Banner-Tribune
P.O. Box 566, Franklin, LA 70538
Phone: 337-828-3706
Fax: 337-828-2874

Morgan City Daily Review
P.O. Box 948, Morgan City, LA 70381
Phone: 985-384-8370
Fax: 985-384-4255

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