INDIANAPOLIS (AP) -
Indiana lawmakers are aiming to close what they call a loophole in the
state’s online sales and hotel tax collection.
The House Ways and
Means Committee approved legislation Wednesday requiring so-called
“marketplace facilitators” that sell goods or services online on behalf of
other entities to collect and remit sales tax to the state.
Business Journal reports the legislation is in response to a recent U.S.
Supreme Court ruling.
The measure has
divided hospitality industry officials, with hoteliers arguing that online
travel websites should have to collect and remit the taxes when they sell
rooms. The travel sites disagree.
The bill now heads
to the full House. If it passes, it will return to the Senate, which
unanimously passed it in February, because it has been amended.