Internet Sales Tax Bill

A new Internet sales tax bill called the "Marketplace Fairness Act" gives states broad authority to require that online sellers collect and remit state sales taxes so that online and offline retailers all operate under the same rules. If passed, the legislation would give each state the option of collection sales taxes from online retailers. Currently, taxes are only collected if the retailer has a physical store within the state. This bill exempts small business' with less than $500,000 in sales from collecting the tax.