Indiana eyes online tax

TERRE HAUTE, Ind. (WTHI) - Early reports from Cyber Monday indicate that consumers spent close to $2-billion dollars. But in most states, including Indiana purchases came with no sales tax on items bought online. It's a tax loophole local legislators are looking to close.
   
The flooded malls and shopping centers of Black Friday took a back seat to the flooded World Wide Web on Cyber Monday.
   
But, local legislators say that those record breaking sales didn't bring a cent in for the Hoosier government. While internet industry giant Amazon plans to implement a sales tax in Indiana by 2014, Hoosier lawmakers want to speed up their process to gain back lost revenue.

"What we're trying to do in Indiana is basically level the playing field," Alan Morrison, the Indiana House representative for the 43rd District said.

Morrison he's in favor of the potential tax.
    
He says when consumers can get an item cheaper online because there's no sales tax it hurts the businesses in your backyard.

"We want our brick and mortar retailers to have the same advantages and the same playing field as our online only retailers,” he said.

It's an issue that has bi-partisan support; Democrat Clyde Kersey feels the same way.

"I'm with the brick and mortar people, if they have to pay the tax then Amazon should too,” he said.
    
However, it won't be until January when we know if Hoosiers have seen the last tax free Cyber Monday.