Two national retail advocacy groups are at odds with each other over whether Internet sellers should collect sales tax from their buyers.
The National Retail Federation and the Electronic Retailers Association issued dueling statements on Thursday asking Congress to consider with extreme caution any legislation that would make it easier to require Internet merchants, mail-order houses and other remote sellers to collect sales tax across state lines. The debate is based around U.S. Representative William Delahunt's, D-Mass., bill that would allow states that have implemented the Streamlined Sales and Use Tax Agreement to require out-of-state sellers to collect sales tax on merchandise sold their residents. The legislation is different than the Internet Tax Freedom Act Amendment Acts of 2007, which President Bush signed into law on October 31, in that the SSUTA permits states implementing the Streamlined Sales Tax Project to collect sales and use taxes on catalog and Internet purchases.
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