According to the National Conference of State Legislators, online sales reached $226 billion last year, a 16 percent increase from 2011. The organization estimates that in 2012, states lost $23 billion in uncollected and unreported out-of-state taxes.
Proponents of the bill, including sponsor Sen. Mike Enzi (R-Wyo.), argue that the act does not create a new tax and only corrects an oversight caused by a 1992 Supreme Court ruling. "This bill is about fairness," Enzi said. "It's about leveling the playing field between the brick and mortar and online companies and it's about collecting a tax that's already due. It's not about raising taxes."
Kyle A. Richardson is the editorial director of Promo Marketing. He joined the company in 2006 brings more than a decade of publishing, marketing and media experience to the magazine. If you see him, buy him a drink.