Senate Passes Online Sales Tax Measure - ABC FOX Montana Local News, Weather, Sports KTMF | KWYB

Senate Passes Online Sales Tax Measure

The U.S. Senate voted to give states the power to charge sales tax for online purchases.

Currently, a state can only collect sales taxes if the online company has physical presence in that state.

Montana is one of five states without any sales tax at all.

So, Montana business owners would be responsible for collecting taxes from out-of-state, online customers, and returning those revenues to the customer's home state.

Senator Max Baucus is leading opposition to the tax provision, stating it would put an undue burden on small business owners in the state.

The measure faces a lot of opposition in the House.

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