Come this fall, 13 states will start encouraging — though not demanding — that online businesses collect sales taxes just as Main Street stores are required to do, and more states are considering joining the effort. . . .The 13 states include Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Nebraska, New Jersey, North Carolina, North Dakota, Oklahoma, South Dakota, and West Virginia.
The states are offering businesses a promise — and an implicit threat. If businesses register and start collecting taxes this year, they're given a yearlong amnesty from the possibility that states may seek back taxes for online purchases.
Apr. 19, 2005 - Senators Introduce Bill to Extend Ban on Internet Taxes.
Feb. 28, 2005 - Are We Ready for an Internet Tax?.