Internet Sales Tax Quietly Moving Through CongressEric Blair The Marketplace and Internet Tax Fairness Act would force customers to pay sales taxes for online purchases from out-of-state online merchants, and it forces online retailers to collect and remit separately sales taxes to all US territories. Washington Post says Currently, officials can only levy sales taxes on retailers who have a physical presence, be it a store or warehouse, in their states. Because of that, big box stores complain that Internet retailers have an unfair advantage. Congruently, local officials seem to be salivating at the potential for more revenue. In March 2013, the Senate voted overwhelmingly 75-to-24 in favor of a largely symbolic version of this bill to gauge the support for the concept of Internet sales taxes. An identical bill was introduced in the House of Representatives last year only to expire in session without a vote. Earlier this month, the House passed the Permanent Internet Tax Freedom Act which bans states from taxing Internet access. Being a fairly popular bill with the public, the Senate wants to hitch this sales tax bill to it in hopes of easier passage. Critics say a tax will hurt the free decentralized Internet, customers will have to pay more, and most of all it will hurt small online businesses who cant afford to comply with such complex accounting, which is no problem for big guys like Amazon. This is one way the big corporations in all industries use legislation to crowd out competition. Its a new barrier to entry for start-ups and a new thorn for existing businesses. Proponents say the bill only applies to Internet retailers who gross over $1 million, which seems like a lot. However, former Congressman Ron Paul pointed outmany small Internet businesses with over a million dollars in out-of-state revenues operate on extremely thin profit margins, so even the slightest increase in expenses could put them out of businesses. And Paul is backed up by the Illinois Supreme Court that ruled the Internet sales tax was unconstitutional: This bill couldnt be a better example of greedy politicians walking in lockstep with big business.It threatens the level playing field the Internet currently offers. Its time to make some noise. Recently byEric Blair 