Internet Sales Tax

While consumers are required to pay state sales and use taxes on the goods they purchase, out-of-state online and other remote sellers are not required to collect the tax in the same way that local businesses are. Internet and other remote sellers are often physically located far from their customers, and do not pay property and other taxes to help support the local infrastructure of the communities in which the customers live. This unequal treatment puts local "brick-and-mortar" businesses – who do pay these taxes – at a competitive disadvantage. The resulting pressure on established retail districts and historic downtowns can adversely affect overall economic sustainability in a community, and can also lead local jurisdictions to attempt to make up the lost revenue by increasing property taxes.

NAR supports the passage of legislation to level the sales tax playing field for all retailers.