Online Boutiques Targeted In Nationwide Tax Bill

If you are the owner of an online boutique or sell random stuff via Pay Pal, you may soon be forced to collect sales tax on your products sold. According to recent events in nations capitol, Congress is working towards implementing a new bill that will force the tax issue.

After the November elections, Congress could act on legislation that would force retailers and other companies to collect sales tax in states where they don’t have a store or other physical locations. Under current federal law, online, phone and mail-order transactions are exempt from sales tax. The legislation has support in the Senate, which passed a preliminary bill earlier this year. It faces opposition in the House.

The legislation is supported by retailers required to collect the tax. They can lose business to out-of-state retailers who don’t have to collect it. Small retailers contend it will cost them time and money to collect the tax.

So, everyone that being paid under the table for the latest fashions, Jordans, and what-not’s, a new day is steady approaching.

Source: AP