I work for an online retailer. In our state, sales tax differs from county to county. That’s a matter of programming in the zip and collecting the right amount of tax...but in the end, it’s all sent to the state we’re in.
Once this sales tax is collected from every different state and each state has their own tax rate or if they’re like our state, several different sales tax rates (which is a programming nightmare)...where is the money going to be sent, who is going to distribute it back to the states, who keeps track of what money was collected for what state. Are they expecting the small online business person to do this?
Of course they are. Because small business people exist, like all the rest of us, to serve the state. Right, Comrade ?!
Very simple, if you are intelligent enough to write an order, then you should be smart enough to compute your sales tax. If for some reason this does not work out a paper trail of the transaction is available to the state and they will collect from you, one way or another. As for the poor little business man being punished by having to collect another states sales tax, if it’s so much trouble, just quit doing business in that state.
What makes you think that the states will see much in the way of tax revenue from this? The Fed will keep most, if not all of it, and say well we are paying for the welfare and what ever other program for your state, so tough.