According to The Wall Street Journal, online purchases will soon be subject to taxes. The Senate has passed a bill putting an end to tax-free online shopping; however, the final vote is set to occur on May 6. This bill, titled the Marketplace Fairness Act, enforces states to require online sellers all over the country to collect sales tax on any online purchase made by their residents. In the past, online retailers have greatly benefited from not having to charge shoppers with sales tax. With this luxury coming to an end, Web stores are now part of corporate support helping to aid the passage of the new bill.
Chief Executive of eBay, John Donahoe, explains that this bill will damage smaller retailers in that it will treat them the same way larger merchants are treated; however, these larger merchants have greater tax-collection capabilities.
Is this fair? What do you think?
For more information visit, http://online.wsj.com/article/SB10001424127887324743704578445220306876996.html.