Online Services Tax Trend Raises Concerns

Overview


Stephen Kranz criticized attempts by state and local tax officials to tax Web services and content, saying that “the trend has been in the last year or so for tax administrators – not elected policymakers – to try to bootstrap the digital world into their existing law.” Mr. Kranz noted that lawmakers in many states where this has been attempted, including Alabama, Idaho, Vermont, and Michigan, have acted to block the tax imposition efforts.