Gov. Bentley wants ability to collect Internet sales tax - WSFA.com: News Weather and Sports for Montgomery, AL.

Gov. Bentley wants ability to collect Internet sales tax

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Source: mgnonline.com Source: mgnonline.com
MONTGOMERY, AL (WBRC) -

Governor Robert Bentley is encouraging Congress to pass a bill that would allow states like Alabama to collect sales taxes on Internet purchases.

According to UAB's Dr. Bob Robicheaux, the state loses about $250 million a year when people don't claim sales and use taxes on Internet purchases. Studies also show that that lost revenue means Alabama is missing out on thousands of potential retail jobs each year.

"It's not fair for local stores to have to compete against online retailers who have at least a 10 percent advantage over them so it's a fairness issue and it's a job issue," Gov. Bentley said.

And when Alabama has been ranked the fifth poorest state in the nation, officials say it's money that's sorely needed.

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