Poll Finds Two-Thirds of Consumers in Favor of Online Sales Tax Collection at Point of Purchase

On October 8, the International Council of Shopping Centers (ICSC) released the results of a national poll that shows most Americans would prefer to pay sales or use tax on online purchases at the time of purchase, as opposed to filing it on their taxes. The poll also shows an increase in support among voters for federal legislation that would restore basic free-market principles for bricks-and-mortar retailers.

“Americans increasingly recognize that this is not a new tax,” said Michael Kercheval, president and CEO of ICSC. “The results of this poll demonstrate that consumers want a sales tax system that supports their retail habits and gives brick-and-mortar merchants a chance to compete on a level playing field.”

Among the national poll’s key findings:

• Seventy-eight percent of voters believe it would be easier to pay state sales or use tax on online purchases at the time of purchase rather than through special forms or when they file their income taxes. This is up three percentage points since October 2012.
• Sixty-four percent of consumers are aware that when they file their state income tax they are required to pay state sales or use tax on online purchases if they not collected by the online seller. This is up by 23 percentage points since October 2012.
• Sixty-four percent of Americans support federal legislation that would require online-only sellers to collect sales tax at the time of sale, up five percentage points since October 2012.

“Brick-and-mortar merchants want the government to stop picking winners and losers so that all retailers can provide consumers with the shopping experience they have come to expect,” said Betsy Laird, senior vice president of global public policy for ICSC. “It is abundantly clear that consumers support a modernized and streamlined sales tax policy that keeps current with the realities of the 21st century marketplace.”