Monday, January 29, 2007

Internet Sales Tax Proposal Moving Along

A terrific article in the Puget Sound Business Journal gives real-world examples of why it's so important that Washington's sales tax should apply to Internet-based transactions as well as bricks-and-mortar stores:
When customers visit Washington tire shops looking for custom wheels and tires, sales staff will often explain options, show the customers tire packages on display and help them make selections.
So it's frustrating when those customers then buy the products on the Internet, says Charlie Extine, who represents the Northwest Tire Dealers Association. Customers can save $88 to $350 on a custom wheel package because out-of-state vendors can sell products free of the state sales tax.
"The dilemma is, we spend quite a bit of time, only not to ring the cash register," Extine recently told lawmakers during a hearing at the state Legislature. "You can't blame the customer for it -- it's quite a bit of savings."
The good news: legislation is currently moving through both houses of the state legislature that would help fix this problem. The bills: House Bill 1072 and Senate Bill 5089 . Follow the progress of these bills on the legislature's website here and here.

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