The real world needs ‘Net’ taxes

By LEE GOMES

Do you think that billionaire Internet moguls should continue to benefit from a tax loophole that hurts parks and schools, and makes it harder for your neighborhood bookstore to keep open for business?

I didn’t think you did.

In that case, cheer on New York and Texas as they chip away at the popular but grossly unfair advantage enjoyed by the Amazon.coms of the world. Online retailers don’t have to collect sales tax on the items they sell if they’re “out of state” companies.

Now, chances are you’ve ordered a tax-free book or two from Amazon, and enjoyed the experience. No one likes paying taxes. But this particular tax break is an especially pernicious one.

For starters, by giving online businesses a permanent advantage over their bricks-and-mortar competitors, it helps those who need it least — huge, profitable e-commerce companies — at the expense of often-struggling local retailers.

In addition, the tax policy is regressive. It disproportionately benefits the upscale citizens most likely to shop online. Worst of all, as commerce increasingly moves online, state and local governments are being deprived of the sales-tax revenues they rely on to run schools, build roads, pay police and firefighters, and do all the other things they’re supposed to do.