Tax & Accounting Blog

Sears Supports Enforcement of Online Sales Tax

Indirect Tax, ONESOURCE, Sales and Use Tax August 12, 2011

Illinois Sen. Richard Durbin has proposed a bill called the Main Street Fairness Act which would enforce the collection of online sales tax. This is a hotly debated topic among lawmakers and retailers. Sears Holdings has endorsed the bill, pointing out that significant revenue is lost to the State when sales taxes on online purchases go uncollected. Sears Holdings stated “The Durbin legislation will restore balance and fairness to the system by enabling states to enforce the collection of taxes that are already owed by every customer making a purchase, whether the purchase is online or in a retail store…This is a critical step in addressing an issue that has resulted in over a decade of unfair competition between retailers who collect the sales tax and those who refuse to do so.” We will continue to monitor the progress of this legislation.