Looks like a little though was given to the paper work needed for small business. But business will have to register with the 50 states and get a license to collect sales tax before they sell in the state. Probably file a monthly or quarterly sales tax return. Have to determine if the item they are selling is taxable in the state, maybe subject to income taxes depending on how the state views registration. This will be very labor intense. I think congress has to do something like set up one registering and collecting group for the country, have the same set of taxability rules for internet sales for all states and have the same tax rate. Business would report sales and tax by state.
If you sell on eBay be sure to list he states you are registered to sell in and the amount of tax due. Remember shipping is taxable in some states but not others.
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