Category: Senate Press Release

By Sen. Jesse Stone (R-Waynesboro)

ATLANTA (June 12, 2012) – One of the most important aspects of the tax reform package is the E-Fairness clause which will ensure that taxes due to our state through online shopping are collected creating a level playing field for both small and large businesses operating in Georgia. Some of you may assume that goods purchased over the internet are exempt from state and local taxes- at least that is what companies like Amazon may have lead you to believe. The issue is not whether there is a tax liability, there is, but rather who is responsible for remitting the tax to the state.  Similar to store-bought purchases where the buyer generally sees a line added for “Sales Tax,” officially the state revenue laws include a “Sales and Use Tax” where the term “Use” refers to the obligation of the buyer to pay taxes on out-of-state purchases which are used in Georgia. However, The National Conference of State Legislators estimates that states will lose a combined $23.3 billion in FY2012 in uncollected use taxes.  Prior to passage of this important tax reform package, Georgia was estimated to lose $88.6 million over the next three years in state and local taxes.

Continue reading “Sen. Stone: E-Fairness and the Sales Tax Holiday”