On May 8, by a 23 to 15 vote, the California State Senate passed Senate Bill 103, which would clarify existing California sales tax laws and require retailers with bricks-and-mortar stores or warehouses in California to charge sales tax for purchases made online by California residents. The bill, S.B. 103, was introduced by Senator Deirdre Alpert (D-San Diego) in late January. The bill now goes to the State Assembly.

At its April 23 meeting, California's State Board of Equalization (BOE) voted 3-2 to conduct a full-scale audit of Barnesandnoble.com to determine if the online retailer has nexus in the state of California. The vote came after the Board reaffirmed its September 12, 2002 decision that Barnesandnoble.com was obligated to pay California back use taxes for a period of four months -- from November 15, 1999 to March 31, 2000 -- because Barnes & Noble stores were offering coupons discounting purchases made at Barnesandnoble.com.

This month's feature from BookSense.com Director Len Vlahos updates booksellers on the latest improvements and enhancements to BookSense.com.

Greetings! Much has occurred in the last month. In our continuing drive to improve BookSense.com, we're in the process of adding staff and some new features to the BookSense.com product.

Here's a quick rundown:

1. Staff on the Move!

On March 26, California's Senate Revenue and Taxation Committee approved a bill that would clarify existing California sales tax laws and force retailers with bricks-and-mortar stores or warehouses in California to charge sales tax for purchases made online by California residents. The bill, S.B. 103, was introduced by Senator Deirdre Alpert (D-Coronado) in late January.

A continuing problem for booksellers, especially those with an online presence, is the receipt of fraudulent orders. A number of booksellers have reported receiving bogus orders from overseas -- via either their retail Web sites or e-mail -- for large numbers of hardcover books, often Bibles or medical texts. These orders usually originate in Nigeria, Ghana, Singapore, or Egypt and are usually in excess of $150. The books being ordered are most often Bibles, other religious titles, medical texts, or other reference books.

Independent booksellers, including Kepler's, protest state's tax system

By David Boyce
Almanac Staff Writer

In an effort to keep members up-to-date on the latest news and changes as BookSense.com evolves, BTW is introducing a new monthly feature from BookSense.com Director Len Vlahos, "BookSense.com On the Move…"

ABA President Ann Christophersen today called upon Amazon.com, Barnes & Noble, and Borders to follow the lead of national retailers that recently have begun to collect sales tax on their online sales. The news of the retailers' decision comes just days after more than 560 independent booksellers nationwide joined as co-signers on letters to their state governors calling for the states to enforce state tax laws fairly and uniformly.

This week over 560 independent booksellers nationwide joined ABA President Ann Christophersen in signing letters urging their state governors and other elected officials to immediately take steps to enforce state tax laws fairly and uniformly. Specifically, the letters call for states to require retailers with a physical presence in their respective states to collect sales taxes on online sales. (To read the full text of the letter, click here.)

This is the last opportunity for booksellers to add their names to an important ABA letter calling for sales tax fairness. The letter will soon be sent to the U.S. governors in the 45 states that collect sales tax and will call on them to enforce existing tax regulations by making sure that retailers with a physical presence in their states collect sales tax on online sales.

While hundreds of booksellers have signed on to the letter, ABA is hoping that even more booksellers will join their colleagues before the letter is mailed.