Online tax effort revived at last minute in Arkansas

AP News
Posted: Mar 30, 2017 1:08 PM

LITTLE ROCK, Ark. (AP) — A House committee endorsed a proposal forcing online retailers to collect Arkansas sales taxes, reviving the effort days after a lawmaker behind the bill declared it dead for this year's session.

The House Revenue and Taxation Committee on Thursday advanced the proposal requiring companies that make more than $100,000 in annual sales in Arkansas or at least 200 transactions in the state to collect and remit sales taxes on those purchases. The Senate-backed proposal had failed three times previously before the panel, facing resistance from conservatives who called the move a new tax and Democrats who wanted the revenue directed to specific needs.

Amazon this month began collecting Arkansas sales taxes on purchases made by state residents. The Legislature plans to wrap up this year's session by early next week.