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Online Sales Tax Bill Faces Tough Path in House

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Supporters of a bill that would broaden states’ ability to collect sales tax on online purchases acknowledge they face a tough battle in the House, The Hill reported today. The measure, called the Marketplace Fairness Act, looks to be on the way to passage in the Senate, with a final vote likely in early May. But while Democratic leaders in the Senate supported the bill enough to bypass the Finance Committee and bring it straight to the floor, the GOP in the House has so far shown little interest in the measure. The House is also unlikely to follow the Senate’s lead in sidestepping the committee process on the online sales tax bill. The Marketplace Fairness Act, for which retail groups and state government organizations have lobbied extensively, would allow states to collect sales tax revenue from Internet retailers throughout the country.

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