The state's battle to collect online sales tax from non-resident businesses will more likely play out in Congress than in the courts, says one economist.
The lawsuit was prompted by new state legislation to allow the state to collect online sales taxes…if such a lawsuit is successful.
A Senate committee approved a bill that would require online retailers to collect sales tax for Indiana even if they have no physical connection to the state.
This summer, Indiana will begin collecting a 7 percent sales tax on products bought from online retailers, a cost that will likely be passed on to consumers.
Kenley has been the state’s leader on pushing for greater collection of online sales taxes.