On Monday, the U.S. Senate passed Senator Mike Enzi's Marketplace Fairness Act in a vote of 69-27. The act would give state and local governments the ability to collect sales tax on out-of-state, catalog and online sales. Enzi says no state would be forced to collect the sales tax, but each state would have the authority to make the decision.
Enzi says this piece of legislation would level the playing field between online stores and corner stores across the country.
He says he's been working on this kind of legislation for 12 years, and says he hopes it will end the free ride for out-of-state businesses.
Enzi reiterates that the collection of a sales tax is up to the individual states, and he says it will not raise taxes or create any new taxes. He says it simply closes a sales tax loophole that puts local and Main Street retailers at a disadvantage.