Senate passes Internet sales-tax bill

Congress took a step toward ending tax-free shopping on the Internet, as the Senate passed a bill empowering states to collect sales tax for purchases made online.

But online shoppers won’t have to pay sales tax just yet. The measure — which got 69 yes votes and 27 no votes in the Senate — next goes to the House of Representatives, where anti-tax sentiment among many Republicans may make it more difficult to pass.

Rep. Bob Goodlatte (R-VA), who chairs the House Judiciary Committee which the bill would go through, has raised concerns about the complexity of complying with the bill. “I understand the concerns of retailers on this issue,” he said. “Brick-and-mortar retailers must compete with Internet companies that do not have the same sales-tax-collection responsibilities,” Rep Goodlatte said. “All of that being said, I do not believe legislation like the Marketplace Fairness Act is sufficiently simplified yet. While it attempts to make tax collection simpler, it still has a long way to go,” he said.