Maryland online sales tax bill dies in House committee

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A bill that was aimed at allowing the state of Maryland to collect sales tax on online purchases has died in a House of Delegates committee, the Gazette reports.

The bill, which was sponsored by Patrick Donoho, the president of the Maryland Retailers Association, would have allowed Maryland to places taxes on all purchases made online from Maryland-based vendors.

Donoho tells the Gazette that the proposed legislation would allow Maryland to collect up to $50 million in revenue each year.

In a December interview with the Baltimore Sun, Donoho said he has been pushing for a long time to put the onus of collecting sales taxes back onto retailers.

"Brick and mortar stores are hopeful that our laws on sales and use tax and those governing relationships between states will be updated to better reflect the current marketplace and to level the playing field with online retailers," he told the Sun.