Virginia – State Closer To Passing Internet Sales Tax

A bill to enact an internet sales tax unanimously is on its way to the Virginia Senate after passing through the Senate’s Finance Committee, where it saw support from both Republicans and Democrats.

The bill, S.B. 1083, was proposed by Sen. Frank Ruff, R-Clarksville, who referred to the bill as a “convenience bill.”

“Current sales and use law requires that folks pay sales tax upon purchase,” Ruff said in an email. “If they do not, they are required by law to remit that tax on their own. Currently, Amazon is doing that. After the Supreme Court ruled against Wayfair in a South Dakota case, they have also started doing the same.”

The bill will remove the obligation from the purchaser to report online sales on his tax returns and shift the obligation onto the out-of-state seller to collect the tax on the purchases. To prevent harm to small businesses, the law will only affect a business if the seller has at least $100,000 in gross revenue from the state or 200 transactions from the state.

For The Full Story:

Virginia Watchdog
by Tyler Arnold
january 28, 2019