Thursday, December 1, 2011

Collecting Sales-Tax becomes a big cost

Under the Supreme Court ruling, retailers have to collect sales-tax and pay back to each state. It becomes a burden for online retailers because it is very difficult for online retailer to collect sales-tax for each state. Oftentimes, buyers are locating in many states. It will cost a lot for online retailers to collect local and state taxes even thought they are not physically present in the area.

Source:

http://online.wsj.com/article/SB10001424052970204012004577070383697704146.html?mod=WSJ_hpp_MIDDLE_Video_second

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