A measure to collect taxes from online retailers passed the State Assembly Tuesday, with a 46-16 vote.
According to Assemblyman Charles Calderon, D-Whittier, the legislation doesn't impose a new sales tax, but extends one that the state should have already been carrying out. What we're suggesting is a way to collect a tax that goes uncollected.
Republicans are opposing the bill out of concerns it will bring in lawsuits, force businesses out of the state, or involve the state in the messy task of regulating the Internet.
Supporters, however, maintain that the current law is unfair to businesses with storefronts where shoppers can try out products before buying it online tax-free.
If you oppose this bill, you support tax evasion, and you're anti-business, Calderon said.
If AB155 passes the Senate, it means that California could collect over 1 billion dollars annually by taxing giant retailers such as Amazon, Walmart and Bestbuy. The bill will extend to online companies and sister companies that have a presence in California.