Alabama Wants Taxes Collected for Online Purchases

BIRMINGHAM, Ala. (AP) - Alabama officials are warning residents that they may owe taxes on purchases made online or with out-of-state retailers.

Department of Revenue spokeswoman Carla Snellgrove said the state has started a pilot program that sends letters to a random sample of taxpayers who did not report any use taxes on their annual filings.

Alabama residents are required to pay a 4 percent tax when a retailer doesn't collect the state sales tax.

That tax could apply to computers, books, electronics and clothing purchased online or from an out-of-state store.

In a typical year, about 3 percent of the 1.8 million people filing an Alabama tax return report owing any use tax.

(Copyright 2010 by The Associated Press. All Rights Reserved.)


You must be logged in to post comments.

Username:
Password (case sensitive):
Remember Me:

Read Comments

Comments are posted from viewers like you and do not always reflect the views of this station.
  • by Jerry on Sep 7, 2010 at 10:24 PM
    3% post on their taxes what they buy online. There is 3% of people with too much money on thier hands or just plain dumb. You decide
  • by Out of Work on Sep 5, 2010 at 04:06 PM
    What a Great Idea to Help slow a already stagnate economy! Just think how this will slow on line purchases and more than likely result in loss of many Jobs. What a exercise in stupidity.
  • by Clint Location: Dothan on Sep 5, 2010 at 03:33 PM
    Alabama sure asks for a lot when we get so little in return.
  • by Craig Location: Samson Alabama on Sep 5, 2010 at 03:25 PM
    they try to collect any way they can!!!!
WTVY-TV 285 N Foster Street Dothan, AL 36303 334-792-3195
Copyright © 2002-2016 - Designed by Gray Digital Media - Powered by Clickability 102259634 - wtvy.com/a?a=102259634
Gray Television, Inc.