Internet Sales Tax Advances in Senate After White House Support


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A bill called the Marketplace Fairness Act has been advanced in the Senate by a vote of 74-20 after being strongly endorsed by Barack Obama. The bill would let states tax online purchases so internet businesses would be forced to make consumers pay state taxes on their purchases. Amendments will now be offered, and the bill is expected to be voted on later this week.

Two giant tech companies are facing off: Amazon is in favor of it, while eBay is against it. Amazon has been reportedly building distribution centers in many states so they can accommodate the bill. Other supporters such as the National Retail Federation, which represents chains such as Best Buy, Macy’s and J.C. Penney, and the Retail Industry Leaders Association (RILA), which includes Target, said they would watch to see which way lawmakers voted. Other endorsers include governors Chris Christie of New Jersey, Rick Snyder of Michigan and Bob McDonnell of Virginia.



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