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CNET News reports that there may be some momentum growing for the institution of a mechanism that would allow states to collect sales taxes on goods ordered over the Internet.

Officials representing more than 25 states are meeting in Chicago to discuss a proposal that would simplify tax rates in such a way that the US Congress would see its way clear to end a moratorium on Internet taxes that is currently scheduled to end in November 2003.

Mayors and governors plan to lobby Congress to permit Internet taxes, though they are opposed by online retailers and information technology types.
KC's View:
We know we’re going to be in the minority in the MNB community on this one, but we think that the moratorium on Internet taxes ought to be continued indefinitely. Especially in a time of economic uncertainty, when so many Internet businesses are struggling to survive, we think that it makes sense to provide extra oxygen to this still-nascent industry.