Keep government out of it. Works perfect the way it is now. Just another way for government to try to pick up more money to misspend without doing anything.

So who gets to set the tax rate for internet sales? Does everyone have to apply the MN "happy to tax you to death" rate? How do you get tax payer representation for out of state companies? What if they are out of country? Yes, that is a good idea, create incentives to have them move abroad. Who needs brick and motar stores anyway.

You are legally required to pay the sales tax on all your on line purchases, but there is no real mechanism to collect the taxes. I like getting away without paying the tax, but it is not fair. State and local governments need the revenue, so like it or not, they will ultimately prevail.

Simple...sales tax is salex tax if you buy online you should pay your states sales tax...or the sales tax of the state your buying in, one or the other....if you are in a state that charges sales tax and some other company is in a state that doesnt...oh well thats life, some states simply dont have sales tax.

"Keep government out of it. Works perfect the way it is now. Just another way for government to try to pick up more money to misspend without doing anything.".....If you don't understand the issue it is pointless to make a comment. Fact is the tax exists now, it is not a new tax, it is just asking all merchants to collect and pay the tax, not just brick and mortar merchants. It is a very simple process and free software is available to keep it simple. The tax rate is simply the tax rate where the purchaser lives. I say, hooray, it is time to quit subsidizing online merchants.

Here's an idea: lower the tax rate. Maybe then I will buy at home. Quit giving pro sports teams billions by raising my tax rate, and other stupid ideas.

Many already point out the obvious that sales tax is already legally due, and it is. However, there is a bigger picture here that is being missed. In this instance the already existing 25 Streamlined States created a set of standards for tax calculation and remittance procedures, and placed in the hands of private enterprise to solve. Now there are several Certified Service Providers whom have all been diligently working toward simplifying sales tax calculation, collection and remittance. The most amazing result is the fact that it is now easier more cost effective for businesses to be enables to collect sales tax for any jurisdiction in any state than process shipping requests. Businesses can now engage new modern automated sales tax procedures and dismiss the burdensome legacy requirements creating unnecessary administrative burdens and costing profits. When confronted with the prospect of sales tax collection for my small business, I chose instead to progressively seek a modern solution. After all this is the era where EBay and other large online merchants can easily keep track of billions of daily transactions around the globe calculating appropriate commissions, costs and international sales taxes. Why should it be so hard to do the same in the USA? It isn't! My company with less than $500K in online sales is now enables to calculate, collect and remit sales tax for any jurisdiction for any state. Most amazingly, it is now far less expensive for me to do so than it was for just my home state. In fact the service is FREE. My company enjoys new found efficiencies and administrative savings instead of paying to frustrate my accountant and bookkeeper. All this made possible after completing a fifteen-minute registration process. Unknown to many merchants is that sales tax processing is already seamlessly integrated into most online shopping carts. Federal Legislation is the proper action by Congress enabling states rights to collect sales tax legally due. After all the tax evasive actions of society are what created the demand for a resolution to this long standing, never intended, tax loophole. I would like to personally thank the many citizens whom evaded their sales and use tax obligations. If not for all of you, I never would have realized that legacy sales tax collection procedures were such a burden to my business. Now with new modern automated tax systems in place my online business is enabled to participate in any market without fear of inadequate nexus laws or antiquated filing requirements. I strongly support Federal legislation. Small businesses will realize, as mine has, that sales tax collection will open new markets and opportunities for growth.

Maybe we can move to economist Robert Frank's model of a progressive consumption tax. After all, we can back into how much we consume based on the existing data on our 1040s. If it's not invested, saved, or paid as tax, it is consumption. We can balance it at the end of a fiscal year, and we can have brackets where certain minimums of consumption (since we need to live on it) are exempted. It's like a fair tax, but not regressive, and much simpler to administer.

Instead of reporting on how unfair that some have to pay taxes, report how unfair it is to tax you and me instead. I may be in the minority, but I can do more with a thousand dollars than the government can with 10,000 dollars.

swcitezen: Enjoyed your comment. I did not realize those mechanisms were in place. Prior to reading your comment my main objection was going to be the burden of determining proper sales tax for any given local, city, and state sales tax. Now my other objection remains. I do much of my shopping online, the lack of sales tax on many sites is a much appreciated side benefit of online shopping. I understand leveling the playing field, maybe they can add an amendment exempting ME from sales tax :)