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Indiana retailers making push for online sales tax

November 29, 2011

A new coalition of Indiana retailers is planning a lobbying push aimed at convincing state lawmakers to force online businesses to collect the state's 7-percent sales taxes from customers.

Members of Indiana Merchants for Tax Fairness say the state's policy puts traditional stores at a disadvantage to online retailers. An Indiana Fiscal Policy Institute report estimates the state misses out on about $77 million a year in uncollected taxes on Internet purchases.

Marlon Nasser is a coalition member and co-owner of PaceSetter Sports in Terre Haute. He told the Tribune-Star that he's blown away by the tax policy's unfairness.

State Senate Appropriations Chairman Luke Kenley told WISH-TV that while collecting the sales tax from online retailers wouldn't be a new tax, many people would consider it to be one.

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