Internet sales are hard or even impossible to tax by state governments.

Question

Quizplus · Accepted Answer

This is because state governments can only require businesses to collect sales tax if they have a physical presence (such as a store or warehouse) within the state. As online businesses may not have a physical presence in every state they sell to, it makes it difficult for state governments to tax those sales. However, there have been efforts to change this through legislation such as the Marketplace Fairness Act.

Internet Sales Are Hard or Even Impossible to Tax by State