Task Force Addresses Internet and Taxation.

• Position: Brief Article

Policymakers, Internet entrepreneurs and corporate tax professionals are spending lots of time discussing the growth of Internet commerce and its possible implications for state economic growth, economic development, and state and local revenues. State and local policymakers fret about the potential loss of sales and use tax revenues as more and more commerce shifts from local vendors to the Internet. They also worry about the fairness of taxes that only apply to "Main Street" vendors. Internet vendors and other "remote sellers" contend that state and local sales taxes are way too complicated for them to comply with. Complicating the issue is that states are sitting on enormous reserves and fiscal conditions continue to be excellent. Is the Internet a...