Arkansas Bill Aimed At Forcing Amazon To Collect Sales Taxes

Feb 1, 2017

An Arkansas Senate panel has advanced a proposal aimed at forcing Amazon to begin collecting state sales taxes, as lawmakers eye potential revenue from the e-commerce giant to pay for more tax cuts in two years.

The Senate Revenue and Taxation Committee on Wednesday endorsed the proposal requiring out-of-state sellers with no physical presence in Arkansas to begin collecting sales taxes if they sell more than $100,000 worth of products or make at least 200 separate sales transactions. The proposal goes before the full Senate on Thursday.

The measure would allow Arkansas to seek court action to collect the tax revenue from sellers.

Arkansas is among a handful of states where Amazon doesn't have a distribution center or office and doesn't collect sales taxes.