Policy

Internet Sales Tax Bill Allies Government and Big Business

Against small businesses

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HARRISBURG, Pa. — A push for online sales tax "fairness" is more about protectionism than equal protection.

Some have drawn that conclusion from after the U.S. Senate OK'd of the Marketplace Fairness Act earlier this week.  The bill — if it becomes law — would allow states to collect sales taxes from online transactions, even if the companies conducting the transaction are located outside the borders of the state.

"States and local governments want more money, and with this bill they'd get it. Huge online and traditional retailers like Amazon and Walmart want even more advantages over smaller competitors. With this bill, they'd get those additional advantages," said Steve Stanek, a research fellow for the Heartland Institute, a free-market think tank based in Chicago.