Visions of $$$ dance in states’ heads – Sales tax collection on online purchases could start in 19 states

This holiday season may be a little less cheery for some online shoppers. The sales tax break that had delighted many an Internet gift purchaser is going the way of free digital music downloads and the one-horse open sleigh.

More and more companies voluntarily are collecting state and local sales taxes on online purchases — and an even greater number could be collecting by this time next year – under a tax-collection agreement with 19 states so far.

“Most people already think they’re paying sales tax on online purchases. They just assume it’s included. So I don’t think it’s going to be a shock for people. Those people who like shopping online — for the convenience, etc. — will continue," said Neal Osten, federal affairs counsel for the National Conference of State Legislatures (NCSL).

By Kathleen Hunter, Stateline.org Staff Writer

Full Story: http://www.stateline.org/live/ViewPage.action?siteNodeId=136&languageId=1&contentId=74256