Idaho Lawmakers Propose Internet Sales Tax Bill

BOISE, Idaho (AP) — An Idaho House panel has introduced a plan to collect nearly $3 million in sales tax from online sales.

Republican Rep. Lance Clow from Twin Falls says the plan would allow out-of-state companies to voluntarily collect sales tax on online purchases in Idaho. The House Revenue and Taxation Committee introduced the bill Tuesday 9-6, drawing opposition from Chairman Gary Collins and House Majority Leader Mike Moyle.

Currently, the federal government does not force out-of-state companies to collect state sales tax on online sales. The bill would also align Idaho's code with 24 other states in anticipation of a yet-to-be-passed federal law that could require sales tax on online purchases. Similar proposals have failed to survive the Idaho Legislature for the past three years.