Bill seeks Internet sales tax

[jdnation]

State lawmakers are looking to collect an estimated $100 million or more in unpaid taxes on Internet purchases by Hawai’i residents each year.

State officials are concerned that they are missing out on a growing source of revenue as people increasingly shop online. Hawai’i residents already are required to pay a 4 percent use tax on out-of-state goods purchased via the Internet or catalogs, though many residents do not know about the tax rule or comply with it.

Last week a House committee pushed ahead Senate Bill 2222 which would urge businesses in participating states to collect taxes from Hawai’i Internet shoppers. Hawai’i businesses that sell goods online in turn would collect taxes from out-of-state buyers.

Whole Article:
honoluluadvertiser.com/apps/pbcs.dll/article?AID=/20060320/BUSINESS07/603200306/1071

 

[Geldain]

From where I sit, one of the most counterproductive ideas on the planet is internet taxation. If states would make the environment friendlier to brick and mortar shops via lower business and profit taxes then you would see a growth in brick and mortar businesses.

 

[vern_humphrey]

Amen!

They drive businesses out, and then whine about the loss of tax base.

 

[Jeffrey]

The commerce part of the internet will pretty much die if they go thru with that. Takes the MAIN reason for shopping on the internet away.

jdnation:

State lawmakers are looking to collect an estimated $100 million or more in unpaid taxes on Internet purchases by Hawai’i residents each year.

State officials are concerned that they are missing out on a growing source of revenue as people increasingly shop online. Hawai’i residents already are required to pay a 4 percent use tax on out-of-state goods purchased via the Internet or catalogs, though many residents do not know about the tax rule or comply with it.

Last week a House committee pushed ahead Senate Bill 2222 which would urge businesses in participating states to collect taxes from Hawai’i Internet shoppers. Hawai’i businesses that sell goods online in turn would collect taxes from out-of-state buyers.

Whole Article:
honoluluadvertiser.com/apps/pbcs.dll/article?AID=/20060320/BUSINESS07/603200306/1071