Group Says No To Internet Sales Tax

Group Says No To Internet Sales Tax


The National Taxpayers Union and a D-C based think-tank have released a new survey which finds a majority of Iowans are opposed to paying sales taxes on internet purchases.

That’s Andrew Moyland of the R Street Institute. Moyland was at the Iowa capitol to discuss the survey with legislative staff and representatives from Iowa business groups. Moyland suggests candidates for all offices should be wary of allowing states to collect internet sales taxes.

Others who support the legislation say Main Street businesses see more and more people who come in, look over the merchandise, then go online to make the purchase — escaping the sales taxes they’d pay if they bought the product in the store. Moyland rejects that argument.

According to a University of Tennesse estimate, 88 million dollars in sales taxes that were legally due to the State of Iowa were NOT collected on internet purchases made in 2012. Moyland argues that “pales in comparison” to the sales taxes the State of Iowa fails to collect because the state sales tax is not charged on all services.

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