Slide 10 of 27
Notes:
Regardless of how the transaction is initiated, collection of taxes on remote sales has been a problem. This has not gone unnoticed by the “brick and mortar” retailers, who argue that it is unfair to collect taxes on their sales and not those of their remote competitors.
The Senate Fiscal Agency estimates that the State is currently losing $195 million per year in Use Taxes not collected on remote sales and expects this to rise to $785 million in five years, almost entirely because of the growth in sales that originate on the Internet.