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Tue September 20, 2011
Michigan proposal targets taxes on Internet sales
LANSING, Mich. (AP) - Michigan lawmakers are renewing a push to require more businesses selling items over the Internet to collect the state's 6 percent sales tax.
Legislation dealing with the issue was detailed Tuesday at the state Capitol.
The Michigan Retailers Association says some out-of-state, online-only retailers use legal loopholes that allow them to avoid collecting state sales tax at the point of sale. The retailers association says that gives the online retailers an unfair price advantage and hurts Michigan businesses that have storefronts and collect the sales tax.
Bills to be introduced by Republican Rep. Eileen Kowall of Oakland County's White Lake Township and Democratic Rep. Jim Ananich of Flint would move online-only retailers under the same sales tax collection laws under which brick-and-mortar businesses operate.