State Legislation Would Raise Sales Tax On Amazon Products

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HARRISBURG (Newsradio 1020 KDKA) – Making a purchase from Amazon or another online retailers could get more expensive if two state lawmakers get their way.

Allegheny County’s total sales tax is 7 percent, it’s 8 percent in Philadelphia, but Amazon and other online retailers charge the state-wide rate of 6 percent.

State Representatives Sara Innamorato of Lawrenceville and Malcolm Kenyatta of Philadelphia say that’s unfair to local retailers who have to pay the added county sales tax and local governments lose out on the revenue.

“What we are proposing is a commonsense adjustment that would ensure that giant online corporations like Amazon have to play by the same rules as local mom-and-pop retailers and contribute to local communities just like they do,” said Innamorato, D-Allegheny. “While companies like Amazon can be helpful for price-conscious shoppers, we cannot neglect the hard-working citizens who depend on their communities in order to make a living.”

Their legislation would base online taxes on where a customer executes a purchase.

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