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You are here: Home / News / Online shoppers hurt sales tax collections

Online shoppers hurt sales tax collections

September 16, 2009 By WRN Contributor

With a growing number of people shopping online, it’s not surprising that state tax collections have hit a new low.

That’s the view of Todd Berry of the Wisconsin Taxpayers Alliance, after sales tax revenues were down 4.3-percent in the past year. It’s the first decline ever for the tax since it started in 1962.

Berry says the economy has been weak and people may be putting off some shopping. However, he adds that sales tax revenues have been shrinking for some time in the state because of internet purchases. Many shoppers use that method to save money, and to avoid paying taxes on items they buy.

AUDIO: John Colbert reports (MP3 :35)

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