Comment Which State Collects??? (Score 1) 268
If live in Colorado and order an item from Illinois, where has the sale been made, Colorado or Illinois? I'm sure each state will argue their state is the location of the sale.
What about hosted sales sites? Let's say, I live in Idaho and order an item from a company registered in Maine, but all their internet presence is hosted in Texas. Now which state gets the taxes?
First I'm against an "internet sales tax." The only way I can see this working is for the federal government to create a single "internet sales tax" and divide it evenly among the states involved in the transaction.