Goodlatte Proposes “Origin” Approach for Internet Sales Tax

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On January 13, 2015, House Judiciary Chair Bob Goodlatte (R-VA) released a discussion draft of his long-awaited plan to simplify the collection of state sales tax on internet sales. The Online Sales Simplification Act of 2015 adopts an “origin” based approach to collecting sales tax, as opposed to the “destination” approach included in the Marketplace Fairness Act of 2013.

As the law currently stands, online retailers are only required to collect sales tax in jurisdictions in which they have a physical presence. The Marketplace Fairness Act of 2013, which passed the Senate in May of 2013 and has since stalled …read more

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