Tax & Accounting Blog

Arizona Senate rejects sales tax bill for Amazon

Indirect Tax, ONESOURCE, Sales and Use Tax March 9, 2012

The Arizona Senate has rejected a bill that would have required to collect sales tax on purchases made by Arizona residents. The bill was voted down 20-8 despite retailer arguments that thousands of jobs at brick-and-mortar businesses are at stake.  Business advocates like Kimberly Lanning with Local First AZ say the online retail giant isn’t paying fair.  “They are failing to collect the same sales tax that the rest of the companies in Arizona are doing,” Lanning said.It’s costing the state $700 million in uncollected sales taxes a year, as well as many jobs.