US Senator wants to charge local tax on iTunes if New Federal Law passes

US Senator Richard Durbin, wants a straight shot with the likes of iTunes and Amazon in an effort that could force them to begin collecting local sales tax on all online transactions.

Durbin, the second longest serving Democrat in the US Senate express his though regarding online transactions and process of collecting local taxes.

According to Durbin:

“Why should out-of-state companies that sell their products online have an unfair advantage over Main Street bricks-and-mortar businesses?” Durbin said in February. “Out-of-state companies that aren’t paying their fair share of taxes are sticking Illinois residents and businesses with the tab.”

According to CNET, The Direct Marketing Association, which filed suit against the state of Colorado in 2010 to impede a similar law from taking effect, says it will fight Durbin.

Jerry Cerasale, the DMA’s senior vice president for government affairs,

“You’re just giving the states a blank check to make changes without any congressional oversight,”. “We oppose that…We think that’s abrogating the authority of Congress.”


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