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Online sales tax measure wins initial approval in Nebraska

taxesLINCOLN, Neb. (AP) — Shopping online may cost Nebraska residents a bit more under a bill intended to level the playing field between internet and brick-and-mortar retailers.

Lawmakers gave the online sales tax measure first-round approval on Tuesday with a 28-13 vote.

The proposal would require online retailers to collect sales taxes if their gross revenue in Nebraska exceeds $100,000 or they conduct 200 or more transactions in the state. Those that refuse would have to notify both buyers and the state that the tax is due.

Nebraska already requires online buyers to pay sales taxes when they file their income tax returns, but few residents comply and the state loses out on an estimated $30 million to $40 million each year. In December, online retailer Amazon announced it would start collecting sales taxes.

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