California becomes latest state to require online retailers to collect sales taxes

ARLINGTON, Va. — As of Saturday, California became the latest state to implement "sales tax fairness," in requiring online-only retailers to begin collecting sales taxes on products sold to California residents.

“Modern retailers operate in a competitive environment that requires them to compete on price 24 hours a day, both in the store and online," stated Sandy Kennedy, president of the Retailers Industry Leaders Association. "Closing the loophole that has given Amazon and other e-tailers an unfair competitive advantage over brick and mortar stores is essential to a free market economy that is void of government picking winners and losers."

California joins Texas and Pennsylvania this year in requiring online retailers to begin collecting sales taxes, New Jersey and Virginia will require the same next year, RILA reported.