Skip to main content

U.S. Senators approve bill to let states tax online purchases

  • Author:
  • Updated:
    Original:

The U.S. Senate voted 69-27 on Monday to adopt the so-called Marketplace Fairness Act, which allows states to require online sellers to collect sales taxes on all purchases, CNN reports. However, it could be a tougher sell in the U.S. House.

Some House Republicans still view the bill as a tax increase on consumers, but other House Republicans argue it simply enforces the collection of taxes already charged at traditional brick-and-mortar retailers.

The Star Tribune notes Target Corp. and Best Buy Co. are among the Minnesota-based retailers that have pursued the legislation for decades. Currently, Internet giants like Amazon and eBay are not required to collect the tax if they do not have a physical location in the state.

Best Buy issued the following statement:

Best Buy is encouraged by the passage of the Marketplace Fairness Act in the U.S. Senate and the clear bipartisan support the measure received. This legislation does not represent a new tax, rather it simply helps to ensure fair competition that ultimately benefits consumers and our communities. The current laws were put in place before the Internet or e-commerce even existed. Just as retail has evolved over the years, the tax code needs to evolve to reflect modern patterns in how consumers shop not by creating a new tax but by enforcing the laws already on the books. We hope that the U.S. House acts swiftly as well.

Minnesota officials estimate the sales tax exemption for online purchases cost the state roughly $450 million last year.

Next Up

Kwesi Adofo-Mensah

Here’s what the Vikings owners say about new GM Kwesi Adofo-Mensah

The Vikings announced his hiring on Wednesday night.

raiaing canes brooklyn park crop

After 3-month delay, newest Twin Cities Raising Cane's opens

The restaurant was originally scheduled to open in October.

st anthony armed robbery screengrab

Armed man robs Twin Cities thrift store, flees in carjacked pickup

He pulled out a handgun shortly after chatting with the cashier about his scarf.

red wing 6

Gallery: Pagoda-inspired home on Lake Pepin for sale for $2M

The home has 425 feet of private shoreline on the Mississippi River.

Walz, Flanagan

Walz proposes legalizing marijuana in massive supplemental budget

It's among the provisions in his "Budget to Move Minnesota Forward."

Plow 2 (1)

Photos reveal damage from gunshots to Minneapolis snowplow

A hydraulic line and three tires were damaged in the shooting.

unsplash - school classroom students

Minneapolis schools confirm return to in-person teaching Monday

The school district shifted to online learning almost two weeks ago as rising COVID cases led to staff and bus driver shortages.

Flickr - Superior National Forest Boundary Waters

Mineral leases for proposed Twin Metals mine near Boundary Waters canceled

A review by the DOI found "significant legal deficiencies" with the leases' 2019 renewal.

cats

Reward to find person who left kittens to die in freezing WI cold

The cats were thrown from a vehicle, according to a witness.

metro mobility bus

Charges: Man led police on multi-city pursuit in stolen Metro Mobility bus

The bus had been left unattended with the keys inside when it was stolen.

Bell Ramsey Co. Jan 22 - crop

Charges: Man fatally shot mother of his child during argument

Officers found her on the ground outside the couple's home.

covid

Minnesota's COVID-19 update for Wednesday, January 26

More than 15,000 new cases in today's update.

Related

U.S. House passes Walz's insider trading bill

The House of Representatives voted 417-2 in favor of Tim Walz's STOCK Act. It prevents lawmakers and staffers from trading stock based on nonpublic information. U.S. Senators passed its version last week by a vote of 96 to 3.

U.S. Senate renews Violence Against Women Act

Fifteen Senate Republicans helped pass legislation reauthorizing assistance to victims of domestic violence. Sen. Amy Klobuchar said the bill was a "great victory for women." Bloomberg reports she's "very hopeful" the U.S. House will also renew the legislation.