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Saturday, April 9, 2011

The Internet Tax Mirage : Politicians drive online commerce—and revenue—out of state.


The biggest false claim is that e-commerce will bankrupt states. This is what retailers and state legislatures said after the Quill decision, but sales tax receipts soared in the decade afterward. The most important influence on state tax receipts is economic growth, and revenues in some states are already returning to their pre-recession peaks.

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