Online powerhouse Amazon began collecting sales taxes from buyers with Virginia addresses this week.
Virginia joins a group of other states including Arizona, California, New York and Texas where the online retailer has agreed to collect sales taxes from residents, after years of insisting they had no legal rights to collect sales taxes from its customers, reports Washington Business Journal.
According to a report in GlobeSt.com, the move likely infuriates other large e-tailers that have enjoyed sales-tax free status. There is currently a bill circulating in Congress – the Marketplace Fairness Act – that would require all online retailers to apply local sales taxes to all purchases. Proponents of the measure say that change would level the playing field with brick-and-mortar retailers, which must collect sales taxes if a state requires it.