The idea behind simplification is to make it easy for a business to collect sales
tax. That would be accomplished by having states adopt a uniform sales tax requirement
for out-of-state sellers, eliminating the need for businesses to have to file multiple
tax forms to county and city governments in addition to states.
Simplification would also mean setting common definitions on what is taxable. For
example, a food gift basket that's taxable in one jurisdiction may be considered a
necessity in another tax district and not subject to taxes.
Washington Gov. Gary Locke represents the state that's home to the poster child of
e-commerce, Amazon.com Incc. And although Locke said he opposes adding new taxes on
the Internet, "neither am I a proponent of awarding Internet vendors substantial tax
advantages that put mainstream merchants at a disadvantage."