Store Says They'd Deal With Online Sales Tax - WLNS TV 6 Lansing - Jackson | Your Local News Leader

Store Says They'd Deal With Online Sales Tax

Tax free online shopping could soon be a thing of the past.

The senate is considering legislation that would bring sales tax to the Internet.

Thursday, lawmakers reached a deal to take a final vote when they get back from break May 6th.

They've been helping customers find the right tune and cord since 1972.

"Well we started out as a brick and mortar store as they call it," said Elderly Instruments Owner Stan Werbin.

But Elderly Instrument's isn't finding most of their customers in the store, but on the web.

"Over the years the mail order has probably become two thirds to maybe 70 percent of our business, so of course it's very important to us" Werbin said.

But what's important to Stan Werbin seems unfair to Jim Hallan.

"The government should not be picking winners and losers," Hallan said.

Hallan, the president of Michigan's Retailers Association says companies who sell products online are at an advantage, because they don't have to charge sales tax for out of state purchases.

"In Michigan it's critical because over 70 percent of the sales tax is dedicated to public education," Hallan said.

Hallan estimates roughly $400 million dollars is lost state wide every year, because sales tax isn't reported or collected from online purchases.

A bill currently in the senate would force companies like Elderly's to collect sales tax, but Werbin isn't that concerned.

"It's not the thing I prefer for my business, but as a human being I say go for it because it's all right."

While a change would cut into their profits, Werbin says if it would add more revenue to the state, it's a tune he could learn to play.

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