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Hoosiers Retailers Pushing For Online Sales Tax

IRC says the state is losing hundreds of millions of dollars in revenue.

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Photo: Stephen Garfield (Flickr)

Retailers want Hoosier internet purchasers to pay Indiana sales tax.

The Indiana Retail Council is reviewing ways to push the online sales tax through the 2012 Indiana General Assembly. The effort failed this year. The IRC says that‘s due in large part to the state‘s relationship with Amazon.com. Amazon has two distribution facilities in Indiana and is working on a third one.

IRC president Grant Monahan says the state opted not to pursue sales taxes in favor of luring the company to Indiana back in 2007.

He says the move continues to put brick and mortar retailers at a seven percent disadvantage. He says the state is losing upwards of $300 million a year in sales tax revenue due to unregulated online purchases.

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