MADISON, WI (MetroSource-WSAU) – The State of Wisconsin will begin collecting online sales taxes beginning October 1st. The practice is expected to generate an additional $90-million in revenue over the next year.
A June ruling by the U.S. Supreme Court says states can collect taxes for online sales.
The state Department of Administration may have more information on the tax collection on Thursday. There have been some concerns that the court ruling could have a chilling effect on mirco-businesses that sell online through sites like Ebay or Etsy. When they sell across state lines they’d have to collect and disburse sales tax for whichever state their customer resides in. The state may exempt small businesses that have less than $100,000 in revenue or make fewer than 200 transactions in Wisconsin. South Dakota, whose law was upheld by the Supreme Court, already has similar exemptions in place.
